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Technology Stocks : Qualcomm Incorporated (QCOM) -- Ignore unavailable to you. Want to Upgrade?

To: JGoren who wrote (37166)	7/25/1999 2:24:00 PM
From: puzzlecraft	Read Replies (1) \| Respond to of 152472

35 million option shares are already counted in the fully diluted share figure by QCOM, as evidenced by the number of shares used to figure fully diluted EPS. The concept of using "fully diluted shares" has gained common ground since the SEC required all companies to report fully diluted EPS starting January 1, 1998. Now people just call the fully diluted EPS, the EPS and don't even look at the non diluted EPS figure anymore. Similarly, using 194 million shares to come up with a "fully diluted market cap" of $30 billion, and calling it the "market cap" is justified. My $35 market cap figure was labelled as "hyper diluted", so that remains qualified. If everyone in a large city decided at the same moment they were going to go buy a bar of soap, there would be chaos... I put your "If 40 million shares were issued tomorrow as a result of options exercise, then do you really think a price of 154 could be maintained?" question in the same category, the chance of everyone exercising their options in the same day is low, there are probably time-of-employment stipulations in effect anyway... but theoretically, yes, the price of 154 should be maintained. John