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Re: rmuncast post# 4439

Wednesday, 07/24/2013 12:03:37 PM

Wednesday, July 24, 2013 12:03:37 PM

Post# of 18471
Think of the situation where the owner of a company is trying to finance a deal through a stock exchange. The stock is going to be valued at an average of the previous x days to find a conversion rate... Would be in the best interest to close strong on those days to give out the least amount of shares for the most amount of capital. Of course every deal is different, but it's much easier to track the closing price than to see how it traded intraday yesterday.