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 : Dell Technologies Inc. -- Ignore unavailable to you. Want to Upgrade?


To: Richard Forsythe who wrote (138061)7/29/1999 7:49:00 PM
From: Chuzzlewit  Read Replies (2) | Respond to of 176387
 
With options, the cost to the shareholders is in dilution and lost capital -- and the current accounting standards reflect that in EPS calculations.

The eps reflects dilution but unfortunately the expense is not explicit in the P/L statement. This stuff is effectively hidden from shareholders, especially when the company is busy repurchasing shares which boosts eps. I am not against bonuses for worthy employees -- I am simply against hiding the true cost. BTW, Dell has a plan that allows employees to purchase stock at 85% of market value. I think this is a wonderful idea.

TTFN,
CTC