SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Technology Stocks : Qualcomm Incorporated (QCOM)
QCOM 159.42-1.2%Jan 16 9:30 AM EST
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Jeffry K. Smith who wrote (55294)12/20/1999 9:54:00 PM
From: Farfel  Read Replies (1) of 152472
 
I don't believe a "stock dividend" is anymore than the issuance of additional shares --- in other words, when Q splits 4/1---effective December 30----that day all owners will receive an additional "dividend" of 3 shares---thus each owner will receive 4 shares valued at 1/4 of the current price of Qualcomm.

This would NOT impact any calls held by owners-----each call would merely reflect the stock split (dividend). For example, a January 2001 Leap strike price of 440 would now become 4 January 2001 Leaps strike price 110-------thus both the stock and the calls stay uniform and just are divided to reflect the split.

This has NO negative impact from what I understand at all in any way upon anyone holding calls, puts, or other derivatives.

In fact, it can be advantageous to someone who might like to soften his position by selling 1, 2, or more of the now 4 calls he/she holds on Q------and I do buy Leaps.

Farf
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2026 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News