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Technology Stocks : Rambus (RMBS) - Eagle or Penguin -- Ignore unavailable to you. Want to Upgrade?

To: Ian Anderson who wrote (36517)1/14/2000 1:03:00 PM
From: capt rocky  Read Replies (1) | Respond to of 93625
 
rmbs gets plug on cnbc. analyst rates it a buy for the non-fainthearted. says worth a shot on intc news. mentioned that rmbs cures memory bottleneck. re stocksplit: simple, more stock outstanding; the more liquid the stock is. take a reverse view: only 10 shares out standing, the bid and ask would be completely arbitrary. the more shares the more buyers and sellers the more liquid the stock . also splits allow more small investors to buy in 100 share blocks. (some people still think that way) rocky



To: Ian Anderson who wrote (36517)1/14/2000 1:38:00 PM
From: dumbmoney  Respond to of 93625
 
The only difference is each of these groups holds twice as many shares, so why does it change anything?

You have to trade an integer multiple of shares, so it's a granularity issue. For very small investors, or people trading in IRA accounts, it's convienient if the share price doesn't get too high. For example, suppose you have $2000 to invest and Rambus is trading at $1001 per share...

Certainly at these levels it makes no difference.


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