World Public Library

Dilution : Stock Dilution

Sal Khan

Abstract

When companies issue new shares, many people consider this a share dilution--implying that the value of each share has been watered down a bit. This tutorial walks through the mechanics and why--assuming management isn't doing something stupid--the sh. Source: Khan Academy (www.khanacademy.org), used under the Creative Commons Attribution-NonCommercial-ShareAlike (CC BY-NC-SA) license. All Khan Academy content is available for free at www.khanacademy.org. Khan Academy does not endorse the World Public Library.

Read this work at the World Public Library (library card needed).