What is False Growth?
1.
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
Random Words:
1.
The study of the chemistry of life. It involves the chemistry of living things from the very largest organisms to the microscopically s..
