In this video, I, Riku Tazumi, CEO of ANYCOLOR Inc., will be addressing concerns that have arisen as a result of recent events regarding the contract termina...
I’m not an expert but to me this seems… kinda normal? Like, putting the graph at 3 or 6 months it doesn’t really look that odd. Why is this time different from the other times the stock fell? (Purely from a shareholder perspective, obviously I know why this is VERY different for a fan)
Well, Niji just had a stock buyback (I think in December or January) to bolster the share prices recently, and this drop has completely erased all stock gains of that buyback.
I’m not familiar with the procedure. From a quick search it seems like something companies do to improve the value of a stock hoping they’ll be able to sell them again for more, is that correct?
Kinda. Companies usually buy back shares for a few reasons but it almost always just simplifies into:
The company wanted to increase the price of its shares in the stock market by lowering the amount of shares in the market.
The company wanted to increase their controlling interest in themselves by buying up more shares thus reducing the amount of possibly lost controlling interest from shares.
I’m expecting a shareholder lawsuit any second now
I’m not an expert but to me this seems… kinda normal? Like, putting the graph at 3 or 6 months it doesn’t really look that odd. Why is this time different from the other times the stock fell? (Purely from a shareholder perspective, obviously I know why this is VERY different for a fan)
Well, Niji just had a stock buyback (I think in December or January) to bolster the share prices recently, and this drop has completely erased all stock gains of that buyback.
I’m not familiar with the procedure. From a quick search it seems like something companies do to improve the value of a stock hoping they’ll be able to sell them again for more, is that correct?
Kinda. Companies usually buy back shares for a few reasons but it almost always just simplifies into:
The company wanted to increase the price of its shares in the stock market by lowering the amount of shares in the market.
The company wanted to increase their controlling interest in themselves by buying up more shares thus reducing the amount of possibly lost controlling interest from shares.
So this means they probably spent money to try and boost the price but the whole situation nullified it, did I understand that correctly?
That is how I understand it to be, yes. Their stock price losses have already amounted to more than $150 million USD.
This is a pretty dramatic drop even if the sector is volatile.