There is a great deal of accuracy in what you say. There is a distinction that you failed to note nothing in this case is about the stock. While the stock is directly affected by what happens in this case, almost nothing that happens with the stock affects this case. This case is about the value of the company, as determined by it's operation, equipment, holdings and cash at given points in time and the cash or assets it has available to pay it's creditors either immediately, or over time. The price of the stock, or bonds unconsidered.