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Why do public companies want to maintain a high stock price How do they make money by keeping the stock up?
Wiki User
∙ 16y ago
Maintaining a high stock price allows a company to access the capital markets by issuing more stock at these higher prices and bringing in more cash for the company to use in its business. A high stock price is also a sign of investor confidence in the company, as well as a necessary requirement to maintain a stock exchange listing or bring in institutional investors as holders of the stock.
Wiki User
∙ 16y ago
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Why do companies need capital?
Companies need capital in order to get their companies working. The company will sell shares to it's members or to the public (in the case of a public company) and when the shares are bought, the company shall have capital to start going again.
What is euro issues?
Euro issue refers to the issuance of stock by new public companies so as to raise money. The initial public offer is referred to as Euroequity.
What is organised and unorganised market?
In this market, there are number of money lenders, indigeneous bankers,traders ect. who lend money to the public,indigeneious bankers also collect deposit from public . There are also privet finance companies ,chitty fund etc,whose activites are not collected by the RBI ,recontly ,the RBI has taken steps to bring privet finance company and chitty funds under it stricts control by issuing non banking financial companies directions (1998).
Why do companies make their products in sweat shops?
to make money
How does Wyoming make money?
National parks and their coal companies.
What is another method that companies use to raise money other than Initial Public Offering of their stock?
Apart from Initial public offering, companies can raise money through FPO (Follow on Public offering) which enables companies to raise money within the already existed assets.
Do companies go public to raise money?
Companies will go public at times, to raise money. The reason they may do this, is to raise awareness about something specific, or it might be done to bring attention to a specific topic.
Why is park and school public property?
Not all parks and schools are public properties. The public school are public because the money to maintain the school comes from the "public" another words TAXPAYERS. Same with parks.
How did railroad companies raise most of the money they needed to build railroads from?
Sold bonds to "the public".
How did the congress giving the central and pacific companies land influence them?
By giving the two companies an urge to compete over who has the most public land and money.
What did Athens do with the Delian League's money?
It was used to maintain a fleet to protect against Persian intrusion against the League member cities.When peace was made with Persia, Athens used it for its own aggrandisement, keeping the fleet going to collect the money by force if necessary, beautifying Athens (Parthenon etc) and putting half its own populace on the public payroll.
Why are the utilities companies in the US taking advantage of the public?
Utilities are companies and they have employees that have to be paid and they need to pay rent on buildings and purchase utility-type things like electricity or water or natural gas and they need to spend money to install pipes and wires and maintain it all and it all costs money for them. How are they "taking advantage of the public"? They are regulated by the state, so you should complain to the state if you have a specific gripe with a utility instead of posting some lame generic liberal rhetorical question on a web site.
How would one buy public liability insurance?
You could go about purchasing public liability insurance from webpages such as Money Supermarket. Alternatively, one could try public liability insurance companies such as Hiscox, for example.
How do Listed companies raise funds?
A listed company can raise funds by offering shares for the public to buy. During an Initial Public Offer, the public buy shares and a pre-determined value of that money is used by the company as equity.
Aims of keeping guns?
Same as keeping money, food, clothes
Can all types of companies maintain a high financial leverage in their capital structure?
No, not all types of companies can maintain a high financial leverage in their capital structure. The ability to maintain high leverage depends on various factors such as the industry, profitability, risk profile, and cash flow generation of the company. Companies with stable and predictable cash flows, low business risk, and high profitability are better positioned to maintain high financial leverage. However, companies with volatile cash flows, high business risk, and lower profitability may face difficulties in maintaining high leverage.
Why do companies need capital?
Companies need capital in order to get their companies working. The company will sell shares to it's members or to the public (in the case of a public company) and when the shares are bought, the company shall have capital to start going again.
