RE:RE:Timing the TradeHey Q,
My thinking on shareholder dilution is better explained this way using an investment example
(I'm referring to investment capital when I speak of dilution).
Let's say you bought 1000 shares of Canopy at a high of $70/CAD.
Cost = $70,000
(you hold the stock, never trade and watch it plummet over time to 70 cents.
Original investment is now worth $700.00 (99% decline).
In December, Canopy does the 1 for 10 reverse split and now your 1000 shares become 100.
At a $10/Cad share price, you now have $1000 of your original investment.
Your original capital recovery of $70,000 means that you will need to see the current share price hit
$700 for your 100 shares to equal your initial investment.
Am I lost in the weeds?