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What is meant by the goal of maximization of shareholder wealth?

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Suppose a stock holder buys a stock at $10 and in ten years time the market price of stock shoots up to $55.
This is called maximizing shareholders capital.

From Barry D.
Maximizing Sharholder Wealth refers to the process by which executives in a pulically-owned company, usually, (but also to private companies with shareholders), undertake investing in new projects, maximizing profits from existing products and services, controlling costs, and adding "value" to the company through the process, which hopefully gets reflected in the price of the stock, but alwasy in the increase in Net Asset Value and Equity Per Share.
Sometimes simply selling the company for a premium over the existing price or Asset Value results in Maximizing ShareholderWealth.
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What is meant by the goal of maximization of shareholders wealth?

Answer     The goal of maximization of shareholder wealth is meant by; first, in most cases �enlightened management� is aware that the only way to maintain its po

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Is the shareholder wealth maximization goal a short-or long-term goal?

It's supposed to be a long term goal; but in the current markets short-term prices can raise stock values and get manager bonuses so they may bet tempted to go for more short

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  Profit is the difference between the sales price and the costs. So profit maximization can be done by getting the maximum sales price and by spending the least amount of

What is shareholder wealth maximization principle?

Shareholder wealth maximization (or simply, "maximization") is a comprehensive, long term financial goal reflecting investor confidence, measured specifically in the face valu

What is meant by the goal of maximization of stockholders wealth?

this essentially means making decisions and choosing strategies to maximize the value of a company as a whole, in the interest of the stockholder. As a stockholder, a more val