It is time to clear up the confusion. Everyone seems very confused about what is going on. Confused about dilution and how it affects share price and confused about a buy back and what that would do. First dilution, they have been issuing shares which become outstanding shares. This only effects the pps IF those issued shares are then sold. They are not being sold, they are being HELD. You can tell by going back to last year and looking at the float. Compare it to now. Have the issued shares been sold? NO! If they are not being sold then it doesn't effect the share price at all. Those issued shares are held by the company itself, insiders, and probably partner companies. They aren't selling, there is no dumpage. Look at the float and see for yourself. It's actually lower then I believe last September, 200 million less. When concerned about dilution the float is what you want to look at, not outstanding shares. The float effects the share price, outstanding shares effects the market cap.
Buybacks, you want the company to buy back the dilution. Well, they can't buy back the dilution because it isn't for sell. The shares that have been issued are being held. Those shares are not available for purchase. Why? They are not in the float. You can't buy something that isn't for sell. A buyback only removes shares from the float but those shares are still outstanding. A buyback decreases the float but does not decrease O/S, as you can see the situation we are in right now is already like if the company issued shares, the shares were sold and then Latteno bought them back. The FLOAT is what is important to watch.
AI
