If a company offers 15% off IPO to their 20,000 investors, WHAT WILL HAPPEN?
405632
I'm afraid that your question is apparently based on several separate misunderstandings of the way the stock market works, so that it is not possible for your question to be answered. If you are asking this for a specific reason (for example, if you are trying to figure out a way to fund a startup company) then you really should consult with an attorney who specializes in corporate law. If you are asking just out of academic interest, let me point out a few of the basic problems:\n\n1) A company with 20,000 investors cannot, under US securities law, have an IPO. An IPO is an initial public offering, but if a company has over 300 investors, it is required to file publicly, so it would already BE public, and thus could not have an INITIAL public offering in the first place.\n\n2) At an IPO, the company initially begins selling shares (not "stocks") at a particular price, after which the market bids the price up and/or down. Therefore, a company is not legally allowed to offer any particular class of people (such as investors) a discount to the market price.\n\n3) The number of shares being bought or sold is completely irrelevant without looking at the larger picture. One share of Warren Buffett's Berkshire Hathaway is currently trading at about $87,000 but one share of many 'penny stocks' trade at $0.01.  Therefore the value of 2,000,000 shares (not "stocks") depends on a large number of factors, such as whether there a total of 2,000,00 or 200,000,000 shares issued.\n\nAs you can see, this is a big, complicated question, and you really, really should speak with an attorney if you are thinking about DOING anything along these lines.\n\nA good way to get a quick introduction to how the stock market works is to play the Stock Market Game, which is at the URL below (and it's free).
257647
More than likely it is not a publicly traded company, as yet. The stock information will only come from the company itself.
648399
It really would depend on the circumstances. Was there a contract (either verbal or written)? Did company ownership change. I the polocies changed to cut company expenses, I would think they would have to notify you, then you have the choice to accept the change or quit.
863291
Effect on company:\n\nLower interest costs, shift of financing over to equity from debt\n\nEffect on shareholders:\n\nDilution to old shareholders, possible change in control due to change in percentage ownerships and/or shift in eligibility for directorship\n\nEffect on holders of convertable bonds:\n\nStop receiving coupon payments (if there were any), start receiving dividends (if applicable),now an equity owner, potentially eligible for directorship (if ownership is high enough)
454086
The opening price is determined by the participants in the market - the sellers of the stock and the buyers of the stock.\n\nIt comes down to market sentiment.  Do people believe the IPO was undervalued or overvalued?\n\nA good rule of thumb is that when an IPO is oversubscribed, its price is likely to be higher than the IPO price.\n\nShanghai Prime IPO price was HK$2.10.   It's now over HK$3.00 so I guess the market liked it.
594827
It won't mean much for me, except maybe lower property taxes.  As long as you're not planning on selling, it's kind of like a drop in the stock market.  The price doesn't matter until you sell.\n\nTami T - I would be concerned about a 15% drop, unless you had a big down payment.  You could end up upside-down on your mortgage and if you HAD to sell (lay-off, relocation), you would end up still owing the bank for a house you don't own anymore.  And I'm sure they'll want that at closing.
485935
I'm not aware of any limits.  You can buy or sell as many as you want.  In some developed markets if you buy more than approx 30% of the stock you can be forced to make an offer for the remaining 70%.
171313
1) Employee Buyout\n2) Sell to another entity (company or person)\n3) Sell stock publicly (ipo)\n4) Sell off / license assets of the company
1122255
Yes, there are a limited number which is usually established by investment bankers and accountants based on the valuation of the company. A company can stop issueing new stock, but existing stock can always be traded on the open marked. Once sold, the company no longer owns the stock. They use the stock sale to raise money, usually for capital expansion. Companies sometimes decide to buy shares back, in which case they act just like a person or institution buying stock. Stocks are bought and sold on the market at the price which the market and the companies profitability (or prospects) dictate.
702795
Technically, I don't recall hearing about a time limit to go public. There are two types of public offerings. Normally a company will make an IPO, which is an Initial Public Offering. This is usually done with a limit number of investors and offered semi-privately through channels other than brokerage houses or underwriters. It isn't necessary to make an IPO first, but could help boast your stock once it is offered to the general public. Later, a company may make what most people would consider a public offering which will be offered to the general public. These stocks will be offered OTC or Over the Counter. In other words, they won't be offered on any stock exchange. There are many regulations which must be followed to make a public offering of stock. Getting on one of the major stock exchanges can takes time. I don't recall how long off hand, but there is a minimum amount of time a company needs to be in business before they can be listed on the the NYSE or AMEX, for instance. Being listed on one of the stock exchanges has nothing to do with being a public company. You can be public without being listed. A company should know when they will be going public. There are many hoops to jump through when you go public.
790713
All investors have to file a public notice with the SEC if they acquire, I think it is 5%, or more of a company's common stock. But there is no limit to how much any investor may buy. Although, as a practical matter, companies often discourages investors from buying more than a certain share by triggering poison pills etc.
500413
Investors selling short a stock cannot drive down stock prices. The Stock Market cannot be manipulated at will (Like so many Hollywood Movies tell us)\n\nHere are the basics:\nThe Stock is $10.00 and there are 100 stocks.\nThe founder of the Acme Company has 51 stocks and he is not selling.\nTherefore the float is only 49 stocks.\nIf there are 49 investors buying 1 stock each at $10.00 then the price would be exactly $10.00 because the supply and the demand is exactly the same. In real life this scenario is impossible.\n\nIf the number of investors buying is 149 and the number of shares is only 49 there are not enough shares for everybody and that drives prices up.\nAt this moment 100 investors will be without shares and there is nothing we can do about it.\nSo 50 investors decide to PAY MORE for their shares let's say $11.00 and that takes care of half the demand but there is still another 51 investors without shares.\nSo 25 investors decides to sell at $12.00 and and they sell and takes care of the demand one more time but there are still 24 investors willing to buy.\nFor as long as the number of investors buying is bigger than the number of shares the price will go up.\nEventually the demand dries at $20.00\nSo of the current 49 investors (Some paid $10.00 some $11.00 some $12.00 and so on)\nEverybody says well, i have doubled my money already so let's sell at $20.00\nSo now we have 49 investors selling.\nAlas! nobody wants to pay $20.00\nSupply 49\nDemand 0\nSo they lower the price to $15.00 and 9 take the bait.\nSupply 40\nDemand 0\nSo they lower the price to $12.00 and 10 more\nSupply 30\nDemand 0\n\nSee?\nIf Supply is high and demand is low the price goes down\nIf Supply is low and demand is high the price goes up\n\nI hope you understand.\n\nWhen the stock is going down is only because the number of sellers is bigger than the number of buyers.\n\nThe Short Seller already sold their shares so there is nothing more he can do. (Except sell more)
460909
They're all good to watch. Not many worth buying, unless you like being manipulated.\n\nAnyone with a million dollars or so can pump and dump these stocks and send their prices soaring, so that you get in, then plunging, so that you lose everything very fast. \n\nOr the average guy, you for example, can start a new company building furniture. It's decent stuff and you have it built in the Caymans so your cost is cheap and you make money. Take the company public and issue stock with an IPO. \n\nWhen the stock soars on the IPO, sell your shares and start a subsidiary, and put all your money into that new company making T-shirts. Of course, the furniture company's stock fell considerably, because you took all of the cash out. \n\nWhen you make money on T-shirts, go public, and when the IPO soars, sell your shares, and buy back the furniture stock at depressed levels. Of course, the T-shirt stock goes down the tubes, because you pulled the cash out, but hey, you're making a killing onthe stock.\n\nThis is legal manipulation. You've been warned. Penny stocks are very risky for a reason, or lots of reasons. Buy something with known value, that's been around awhile, and will continue to be around. So what if you can't buy as many shares? You can still double your money, and reduce your risk in half, by investing in the future of a stable company not ran or manipulated by shysters.
787763
One place is through your broker.  But they'll usually only have the IPO's in which they're helping underwrite.\n\nFor example, Fidelity has an alert that you can opt-in to that'll tell you of their IPOs as they come up and you can click on it to learn about the company and how to invest in it if you're interested.\n\nGood luck!
140644
If corporation's total worth was more than twenty mil, and you sold your stock, I would say, yeah.  But you wouldn't be until you actually sold your share.
1115930
Transitioning to a public company involves an "IPO", Initial Public Offering, and there is mucho info in that document.\n   If the company is large enough, there will be many news sources that will write about.\n   Now-a-days IPOs draw plenty attention and it might be easy to get floods of info.   Try Google search for the company name.
12252
Become a bigger customer with them - i.e. trade more and keep more assets at the firm. Regardless, Schwab gets very limited IPO allocations from the managing underwriters, so you are unlikely to be able to get very much of anything other than a less than attractive deal. Sorry.