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.
Strategies & Market Trends : Canadian Options
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: andy who wrote (647)8/14/1997 3:57:00 AM
From: hsg   of 1599
 
A quick comment on wage inflation...has anyone stopped to think of how stock options and eps are related. the employees of a lot of companies (ie. MSFT) are earning droves in options, the companies are buying back stock yet are increasingly diluted and eps does not reflect the economic reality which is that wages are being paid out in the form of stock buybacks which do not even take off the market the emoployee excersised options and yet are not expensing this cost to lower their eps. note: MSFT has spent much more on buybacks (resulting in more shares on the market due to massive excersising of options) than they have earned. this is a form of wage compensation and the effect is two fold 1.this wage inflation (albeit artificial) is not recorded 2. the eps is overstated as this expense in not expensed...anyways that's my comment on inflation (understated)...
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