Potential Dilution financial definition of Potential Dilution. Potential Dilution finance term by the Free Online Dictionary.

Potential Dilution

The reduction in value of stock that occurs if more stock is issued. That is, if more stock is issued, there will be more stock outstanding. Among other things, this reduces the dividend per share because each diluted stock represents a smaller ownership interest in the company than it did before. Generally speaking, potential dilution applies to the situation if convertible bonds or warrants are exercised, though it may apply to a completely new issue. Many stock issues have antidilution provisions to reduce the risk incumbent to potential dilution to shareholders. See also: Diluted earnings per share.

potential dilution

The decrease in the proportional equity position of a share of stock that will occur eventually if additional authorized shares are actually issued. This term generally refers to outstanding options and convertible securities likely to be exchanged for shares of common stock at a future time.

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Complex Capital Structure Diluted Earnings per Share Dilution	The IRRC reported that average potential dilution at Standard & Poor's 1500 companies reached 14. Dilution Concerns by Financial Executive Companies that had high overhang compared to their industry peers in 1997 have decreased their overhang level since then, partially reflecting exercises and partly in order to reduce costs from potential dilution and excessive risk taking. Stock options and optimal overhang by KAY, IRA T. / Directors & Boards Schieneman then proceeds to dip into the murky world of employee share options, a method of rewarding employees which is now so heavily used by US companies that observers are questioning the potential dilution of earnings, and also the masking effect options have on underlying profitability. By Alex Sloley by Computergram International	Positive Yield Curve possession Possessions Corporation possessory interest possibility of reverter Post Post 30 Stock Post Execute Reporting System Post Execution Reporting System Post-Audit Post-Dated Check Post-Money Valuation Post-Trade Benchmarks Post-trade processing Postal Code Postergacion del pago de impuestos postforeclosure redemption rights Posto de troca Postponement Option Postponing Income Pot Pot Is Clean Pot-de-Vin Potencial ascendente Potential Default Potential Dilution potential gross income potentially responsible parties Poupanca Poupanca compulsoria Poupanca negativa Pourboire Poverty Line Poverty Trap Pow Wow power center power of attorney Power of Attorney of Property power of sale power of termination Powers of Appointment PP&E PPNR PPP Pr Practicas comerciales habituales Practicas constables Praecipium Pramie Praticas contabeis Pratiques commerciales courantes	Potential Carcinogen Potential Carrier Recovery potential cautery potential cautery potential cautery Potential Change Order Potential Chemical of Concern Potential chemical warfare agent Potential chemical warfare agent Potential chemical warfare agent Potential Compensable Event Potential Condition Adverse to Quality Potential Conflict to Cooperation Potential Potential Constituents of Interest Potential Contractor Potential Contractor Program Potential Daily Exposure Potential Daily Intake Potential Default Potential Defaults Potential density Potential Designated Historic Property Potential Development Area potential difference potential difference potential difference potential difference potential differences potential differences potential differences Potential Dilution Potential Dilutions Potential Discrepancy Item potential divider potential divider potential dividers potential dividers potential drop potential drop Potential Drug Target Database Potential Drug-Drug Interaction Potential Duplicate Contract Record Potential Earth Potential Earth Science Hazard Potential Electrode potential electrolyte Potential Endorsed TEMPEST Products List potential energy potential energy potential energy potential energy potential energy Potential Energy & Renewable Resource Mapping Potential Energy Annealing Conformational Search Potential Energy Boundary Surface Potential Energy Curve Potential Energy Distribution Potential energy surface Potential Energy Surfaces Potential evaporation Potential evapotranspiration

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References in periodicals archive

Financial browser

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Complex Capital Structure
Diluted Earnings per Share
Dilution

The IRRC reported that average potential dilution at Standard & Poor's 1500 companies reached 14.

Dilution Concerns by Financial Executive

Companies that had high overhang compared to their industry peers in 1997 have decreased their overhang level since then, partially reflecting exercises and partly in order to reduce costs from potential dilution and excessive risk taking.

Stock options and optimal overhang by KAY, IRA T. / Directors & Boards

Schieneman then proceeds to dip into the murky world of employee share options, a method of rewarding employees which is now so heavily used by US companies that observers are questioning the potential dilution of earnings, and also the masking effect options have on underlying profitability.

By Alex Sloley by Computergram International

Positive Yield Curve

possession

Possessions Corporation

possessory interest

possibility of reverter

Post

Post 30 Stock

Post Execute Reporting System

Post Execution Reporting System

Post-Audit

Post-Dated Check