It seems like the trend lately is to float a tiny amount of shares to the public. From my perspective this creates an artificial supply problem for the stock and makes higher valuations easier as you need less institutional buy in to maintain the price, and a few good quarters can result in disproportionate gains in the market.
Can anyone comment on that or shed some light? As a potential investor, those factors make me shy away from these investments as it makes the stock more volatile to changes and puts the fate of the stock in a few large holders hands.
Can anyone comment on that or shed some light? As a potential investor, those factors make me shy away from these investments as it makes the stock more volatile to changes and puts the fate of the stock in a few large holders hands.