Advantages for the issuer: 1. More shares outstanding and, therefore, potential for more shareholders. 2. Lowers the stock's price, which may make it more attractive as an investment. 3. No economic effect. 4. Does not affect financial ratios.
Advantages for the issuer: 1. More shares outstanding and, therefore, potential for more shareholders.2. Lowers the stock's price, which may make it more attractive as an investment.3. No economic effect.4. Does not affect financial ratios.