What is False Growth?
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The increase in earnings per share that comes against a firm acquires another firm with a P/E ratio lower than its original price-earnings ratio.
And this phenomenon is solely because of the merge. The stock price does not matter.
When a corporation merges a comparatively small company with a lower P/E ratio,there wil be a false growth in the corporation's earnings per share.
See
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Meriden, Connecticut
As refered to on the D.J. Pishimix album of the same name.
Pish and Dolla spell Murrrrrden with 5 R's religi..
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