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Shareholders own companies and a rising stock price benefits shareholders who elect the board members that run said company, a falling stock price isn't in anyo
by mythz 7y ago
Shareholders own companies and a rising stock price benefits shareholders who elect the board members that run said company, a falling stock price isn't in anyone's interest who are invested in the company.
It does help with M&A, raising capital, employee stock options + bonuses.
It's rare, but sometimes you'll hear company Investors saying that their stock price is too high, like Zoom's CEO [1].
[1] https://www.bloomberg.com/news/articles/2019-04-18/zoom-video-soars-to-16-billion-valuation-in-u-s-trading-debut https://www.bloomberg.com/news/articles/2019-04-18/zoom-vide...