TSXV:HRE.H - Post by User
Comment by
REEnewbieon Jul 23, 2011 12:12pm
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Post# 18864905
RE: Clearification
RE: Clearification
Well its not true that a company like Stans has no duty to watch and care the SP and their value.
In fact this is No.1 duty of a company, because the only aim to run a company is to make money and not for charity reasons.
This is true only in theory! The duty of many Corporate CEO's and chief executives is to themselves.....chief aim is for self enrichment, Company and shareholders are secondary. Many CEO's have driven a company into bankruptcy, yet they are richly compensated or left unscathed, a good example are the big US banks and its CEO's.
Maybe need to review some basics:
Quick Facts on Stocks and Shares
Owning a stock or a share means you are a partial owner of the company, and you get voting rights in certain company issues
A company's stock price reflects what investors think about the stock, not necessarily what the company is "worth."
The SP reflects investors' opinion and expectations about both the company and management. For the SP to stay stagnant or keeps going down means in general the market has some doubts which has to be cleared up before the SP will go any higher. Granted, the market is often irrational.
JMHO
GLTA