posted
Howdy folks!! I'm new to the board and as such i have a few questions if you don't mind. First off i was under the impression(not sure why) that if you had more shares then any1 else in a particular co it kinda became yours..can yall shed some light on this topic? my reason for asking this question also deals with another question..if say it doesn't then why would someone buy up all the stock? I know hopefully later on they would see a profit if the stock does good, but are there alterior motives for doing that? TIA folks
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posted
As you can see by my # of posts, I am not the duty expert here. But, in an attempt to give back to a board that has given me much, I will give this a shot. If nothing else, it might generate discussion which is what this forum is all about.
It is not about who owns the most compared to each other, it is about who owns the most compared the number available. If you have 50+ percent, then you have controlling interest in the company. This is further complicated by common stock vs. prefered stock and how much 'voting' rights come with each. Ultimatly, you need controlling interest in the vote of the company to be at the helm.
Unless you know the person(s) or institution(s) making the move on the stock, one can only guess at their reasons for buying up the stock. I believe it is common practice to offer board positions to major holders (as defined by the company charter). I have also heard of this being used as a tactic during hostle take overs.
Hope this helps or at least prompts further discussion.
-------------------- "You cannot play them all, so pick good ones and play them well."
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posted
I do not think pinkies are required to report that information, but others will have it in their 10Q (quarterly report). I has been said before on this page (by Glassman, I believe) that one should learn to read these reports. This advice is right on the money (pun intended).
Another source that I use is the key statistics on the Yahoo Finance page. If posted, you can find the link on the left hand side of the summary page. It contains much of the info contained in the 10Q along with many other bits of Fundamental info.
-------------------- "You cannot play them all, so pick good ones and play them well."
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