Antidilutive effect

Antidilutive effect

Result of a transaction that increases earnings per common share (e.g., by decreasing the number of shares outstanding).

Antidilutive Effect

The result of the retirement of shares, usually through a buyback. That is, a company may buy back some of its own shares from shareholders, which reduces the number of shares outstanding. This increases the company's earnings per share, which in turn usually increases the stock price.
References in periodicals archive ?
these shares will have an antidilutive effect for all current
Even though they have an antidilutive effect on income before extraordinary items, they have a dilutive effect on net income.
2) Diluted weighted average shares outstanding for the second quarter of 2008 include the dilutive effects of 2,273,000 stock options and 169,000 restricted stock units that are not reflected in the comparable number on an as reported (GAAP) basis due to their antidilutive effect on the Company's net loss.
These shares were excluded due to their antidilutive effect.
The computation of diluted income per common share for the years ended December 31, 2007 and 2006 excludes options to purchase 1,544,000 and 974,000 shares of the Company's common stock, respectively, due to their antidilutive effect.
For the three month period ended September 30, 2004, all common stock equivalents were excluded from the computation of diluted loss per share as a result of their antidilutive effect.
The computation of diluted earnings per share does not assume exercise or issuance of shares that would have an antidilutive effect on earnings per share.
In computing the diluted loss per share excluding special items for the year ended December 31, 2003, all common stock equivalents were excluded as a result of their antidilutive effect.
These shares are excluded due to their antidilutive effect resulting from the loss from continuing operations.
Diluted EPS excludes 15 million ESOP preference shares and $3 million of earnings adjustments for the third quarter of 2004 and 16 million ESOP preference shares and $3 million of earnings adjustments for the third quarter of 2003 because of their antidilutive effect.
84) Weighted average shares outstanding 75,214,144 25,334,290 Diluted earnings (loss) per share: Net earnings (loss) before preferred stock dividends $2,523 $(13,899) Less: Antidilutive effect of dividends and common stock equivalents -- 7,315 $2,523 $(21,214) Earnings (loss) per share- Earnings (loss) per share -- diluted $0.
2) Impact of dilutive shares not included for the three quarters ended eptember 30, 2003, as they would have an antidilutive effect.