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Technology Stocks : Presstek -- Stock of the Decade?? -- Ignore unavailable to you. Want to Upgrade?


To: GVTucker who wrote (8023)1/28/1998 9:26:00 AM
From: dkmax  Read Replies (1) | Respond to of 11098
 
I am confused. I guess I must not understand earnings dilution.

As I read it, for earnings per share to go from .22 to .01, the number of shares would have to increase by a factor of 22 from 17 million to 374 million, an increase of roughly 357 million shares. Using your exercise price of $37 per share, that would mean that the holders of PRST options would have to come up with only about $13 billion.

Sounds reasonable.