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Technology Stocks : Qualcomm Moderated Thread - please read rules before posting -- Ignore unavailable to you. Want to Upgrade?

To: carranza2 who wrote (49149)	12/9/2005 4:42:43 PM
From: Jon Koplik	Read Replies (1) \| Respond to of 197427

My pseudo-analysis of options accounting idiocy .................................. 1. Everyone (except me) agrees that stock options granted cost "real" money. 2. Wall Street decides to agree with this. 3. Share prices of various companies (including Qualcomm) never go up (because -- the new, improved, (low) phony earnings do not support high share prices). 4. Virtually no stock options ever get exercised (because share prices never goes up). 5. Wall Street sees cash on the balance sheets of companies endlessly go higher, and finally figures out that options accounting is indeed "real dumb." 6. After a few years, we are back to where we were a few years ago : a state of "Who cares ?" (regarding stock options granted). Jon. P.S. The accounting courses that I was required to take while at business school contained some of the most idiotic, nonsensical material I have ever been subjected to ...