I'm wondering about the expected price of a stock after the ex-rights date. Specifically, I want to know what the ex rights share price will be.
6 answers
Lorenzo
Fri Nov 01 2024
This price reflects the market's perception of the company's value before the additional shares become available.
Elena
Fri Nov 01 2024
The calculation then involves deducting the value of the rights from the pre-offering price.
Chloe_thompson_artist
Fri Nov 01 2024
The theoretical ex-rights price (TERP) signifies the worth of a stock subsequent to the completion of a rights offering.
Federica
Fri Nov 01 2024
It serves as an indicator of the stock's value after incorporating the impact of the rights issuance.
CryptoWizardry
Fri Nov 01 2024
The rights themselves represent an entitlement to purchase additional shares at a discounted rate.