Re: Facts From Schwab To Set The Record Straight.samscorpio Blunist
in response to
by
posted on
Apr 01, 2010 02:12PM
The dilution is equity, a balance of the cash expenditure.
It is the opposite when computing EPS, since the outstanding shares is less. Net earnings divided by fewer shares would increase the EPS.
If the stock is subsequently sold, they may have a gain which would change the equity position, and the number of outstanding shares.