Friday, June 26, 2009

Stocks are made for selling

New Equity

Led by financial companies seeking to rebuild balance sheets eroded by rising delinquency rates on mortgage-backed and other forms of debt, U.S. companies are creating new equity at the fastest pace on record, causing future earnings to be divided among a larger number of shares. During the second quarter, 195 public companies have raised $91.9 billion by selling additional shares.

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