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Re: dendreonrich post# 1856

Friday, 10/12/2007 2:01:47 PM

Friday, October 12, 2007 2:01:47 PM

Post# of 8473
Thanks den,

I read some of them.

This is what I said: "It makes no sense to me that without other factors, increased liquidity equals increased value of the company."

What I am trying to say is that a stock split without other factors does nothing. That does not mean that splits may not tend to exist with substantive cofactors that are the real reason for the stock to outperform. Said another way stock splits may be a surrogate marker for other fundamental drivers of a stock whose value will increase. I am not sure how a study could insulate against these cofactors without knowing what they are ahead of time.

zip

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