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Colonel_mustard

01/07/22 11:33 AM

#128097 RE: Colonel_mustard #128094

Significance

The number of authorized shares is useful information for company management, but has no relevance for investors. You cannot access authorized shares until they start trading. A company may apply for an increase to its authorized stock if it needs to raise additional capital either for operations or for strategic acquisitions. The outstanding share count changes when a company issues new shares or repurchases existing shares. These changes can affect the stock price and thus the value of investment portfolios.

https://finance.zacks.com/outstanding-stock-vs-authorized-stock-2309.html