Cosmic,
Thank you for your reasoned response. Unfortunately your explanation is based on the same mythic understanding of the stock market as bag8ger enjoys.
The little bumps and flurries that the daytraders exploit are the 'noise' signal that lays on top of the actual value of the companies stock. The 'noise' is usually the result of the emotional reactions of the 'long' investors to some inconsequential PR put out by the company in order to invoke just such a reaction. It is ironically amusing that the 'hated' daytraders would have nowhere to play if the 'longs' weren't quite so gullible.
The actual value of the pps may be subject to minor excursions in level driven by the instantaneous intensity of the longs emotion but it's underlying level is an 'exact' representation of the value of the company.
It is humorous to watch the players try to suggest that a company whose single source of income is the printing of shares to sell at a discount to the current pps, is not directly connected to that pps. Why the entire existence and continuance of the company is based solely on that pps. The fact that the capitalized value of the company is dropping in almost a direct relationship to the amount of money that is extracted from the sale of the shares should make the relationship obvious.
The VALUE of the company is DEFINED by the number of shares outstanding, multiplied by the pps. This is not a theory, it is a fact. That value is established by the market, not the wishes of the investors. It is supported by the industry, who well know the value of the company AND it's assets. Any theories that attempt to circumvent these facts are simply pipedreams.
regards,
frog
