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Why would the shareholders want to risk turning the company into a smoking hole in the ground and making their shares worthless? That said I think it’s a bit s
by Tabular-Iceberg 3y ago
Why would the shareholders want to risk turning the company into a smoking hole in the ground and making their shares worthless?
That said I think it’s a bit suspicious when so much of the ownership is institutional investors who seem to just own each other, and appear to work against the very interest of maintaining and growing the value of the investment, which is what one would think being a shareholder is all about.
- ceejayoz 3y ago> Why would the shareholders want to risk turning the company into a smoking hole in the ground and making their shares worthless? Because they're getting out long before the stock craters.
- lenerdenator 3y agoThere are plenty of ways to make shareholder value without actually improving Boeing's product safety culture. Even if the planes are deathtraps, what are customers going to do about it? Sue? Lawsuits will take years. Buy Airbus planes? Order queue's backed up for years. Ground their fleets? Then they can't make money. Every solution takes years while shareholders have to worry about the next 90 days. Even those with a long position can just propose that the company start selling off assets in order to make up the losses. That's what corporate raiders do, and it's what happened to GE. Shareholders do not care about companies. They care about making money.