cnn wrote:innovator wrote:Aguytrying wrote:wanyina wrote:may be after carbacid stock split the share will come down us to buy ......it seems a steady company in earnings
stock price with a per of 10.00 after bonus is 100.00. as calculated above. split 5 times is 20.00. currently after split price of 250.00 is 50.00.
don't be suprised ppl selling this to you below 20.00 when the dust settles. equivalent to 100.00 now.
At current price of
250 plus the bonus gives you 375. 5 times split comes to 75.
At 20 after bonus and split it reverts to the value of 150.
Those buying at 250 i expect the price to correct to 167 after the bonus issue,after the split to a price of 33..a PER of around 17 and a dividend yield of 2.4%....and by the record date for the bonus issue the market price could be below 200.
@cnn. after crediting of the bonus shares occurs and they begin to trade, the share should trade lower than where it was before the bonus issue. (more shares under the same EPS- rationally of course) As you rightly calculated above.
But i see you are talking about the period just before cum bonus.
Today the signs of going to 167 there abouts are there with very little demand at +200 price.
The investor's chief problem - and even his worst enemy - is likely to be himself