share dilution

share dilution
The loss in value to current stockholders that results from the issuance of new shares in return for a price that is less than market value.
Syn: stock dilution

Wikipedia foundation.

Игры ⚽ Поможем сделать НИР

Look at other dictionaries:

  • dilution — di·lu·tion /dī lü shən, də / n 1: a lessening of real value (as of equity) by a decrease in relative worth; specif: a decrease of the value per share of common stock caused by an increase in the total number of shares 2: a lessening of the value… …   Law dictionary

  • dilution limits — The limits to the number of shares a company may issue under its equity based incentive plans. The limits typically refer to an overall number of shares that may be issued at any given time, for example 10% of issued share capital over a ten year …   Law dictionary

  • dilution — (1) The difference between gross sales and net sales. Dilution is caused by sales that are reversed as a result of returns and/or allowances. (2) The reduction in an existing stockholder s position that results from the issuance of new shares.… …   Financial and business terms

  • Dilution — Diminution in the proportion of income to which each share is entitled. The New York Times Financial Glossary * * * dilute di‧lute [daɪˈluːt] verb [transitive] FINANCE if a company dilutes its shares or the earnings on its shares, it increases… …   Financial and business terms

  • dilution — A reduction in *value. In the case of *common stock, dilution refers to a reduction in the value of a *stockholder’s share of *equity or a reduction in the proportion of shares held by a stockholder. This can occur when a corporation issues… …   Auditor's dictionary

  • dilution of shareholding — /daɪˌlu:ʃ(ə)n əv ʃeəhəυldɪŋ/ noun a situation where the ordinary share capital of a company has been increased, but without an increase in the assets so that each share is worth less than before (NOTE: The US term is stockholding.) …   Dictionary of banking and finance

  • dilution — noun Date: 1646 1. the action of diluting ; the state of being diluted 2. something (as a solution) that is diluted 3. a lessening of real value (as of equity) by a decrease in relative worth; specifically a decrease of per share value of common… …   New Collegiate Dictionary

  • Dilution — A reduction in earnings per share of common stock that occurs through the issuance of additional shares or the conversion of convertible securities. Adding to the number of shares outstanding reduces the value of holdings of existing shareholders …   Investment dictionary

  • Stock dilution — is a general term that results from the issue of additional common shares by a company. This increase in common shares of a stock can result from a secondary market offering, employees exercising stock options, or by conversion of convertible… …   Wikipedia

  • Diluted Normalized Earnings Per Share — A company s profit less one time earnings, divided by both outstanding common stock and stock owed if convertible securities were to be exercised. Diluted normalized EPS is different than regular earnings per share (EPS) because it takes into… …   Investment dictionary

Share the article and excerpts

Direct link
Do a right-click on the link above
and select “Copy Link”