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Biotech / Medical : Biotech Valuation
CRSP 53.47+0.3%Nov 28 9:30 AM EST

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To: Jibacoa who wrote (3083)3/14/2001 8:08:11 PM
From: Biomaven  Read Replies (2) of 52153
 
<ALXN>

the company only uses 16.661 million shares in their computations

This is because the offering happened only part way through that reporting period. 18 million shares is the number now outstanding, without taking into account any dilution from options.

Note that a diluted number only gets reported once the company is profitable on an operating basis. It is possible to estimate the diluted number before then based on a 10-K, as the options outstanding are then shown broken down by price range. (It's in the FAS 123 footnote). In ALXN's case, based on their last 10-K, I would estimate that there would be a little over an additional 1 million shares outstanding on a diluted basis.

Peter
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