Stock market lingo translation?
So i've got to analyze why some of my chosen stocks (for school) did what they did. It's hard enough as is, and the whole stock market thing is over my head. Would someone be wiling to explain to me what they are saying, or a simplified summary of what they mean. Please? :)
1. Waste Management Inc announced the declaration of a quarterly cash dividend of $0.355 per share payable September 21, 2012 to stockholders of record on September 7, 2012.
2. Waste Management Inc announced that it has priced an underwritten public offering of $500 million aggregate principal amount of 2.90% senior notes due September 15, 2022 under an effective shelf registration statement previously filed with the Securities and Exchange Commission. The notes will be fully and unconditionally guaranteed by the Company’s wholly-owned subsidiary, Waste Management Holdings, Inc. The notes have been assigned ratings of BBB by both Standard & Poor’s and Fitch and Baa3 by Moody’s. The offering is expected to close on Sept. 12, 2012. The Company plans to use the net proceeds of the offering to repay the $400 million principal amount of its outstanding 6.375% senior notes when they mature in November, plus accrued and unpaid interest on those notes. All remaining proceeds will be used for general corporate purposes, including additions to working capital and capital expenditures. Barclays Capital Inc., BNP Paribas Securities Corp., and Merrill Lynch, Pierce, Fenner & Smith Incorporated are acting as joint book-running managers of the offering. In addition, Goldman, Sachs & Co., J.P. Morgan Securities LLC, Morgan Stanley & Co. LLC, PNC Capital Markets LLC, Scotia Capital (USA) Inc., and U.S. Bancorp Investments, Inc. are acting as co-managers of the offering.
3. Waste Management Inc announced that for fiscal 2012, it expects a second half reduction in earnings of $0.14 per share, which is $0.07 more than previous prediction. The additional $0.07 impact from lower commodity prices would adjust the EPS guidance to a range of $2.08 to $2.13 per diluted share. According to I/B/E/S Estimates, analysts are expecting the Company to report EPS of $2.10 for fiscal 2012.
4.Waste Management Inc announced the declaration of a quarterly cash dividend of $0.355 per share payable December 14, 2012 to stockholders of record on November 28, 2012.
Mostly it's #2 that i need serious help with.
- kikosanchez182Lv 48 years agoFavorite Answer
2 Is basically saying the company is offering 10-yr debt notes (like bonds) paying 2.9% interest. They are trying to gather $500 million of cash with this public offering.
"underwritten" just means some company is acting as a middleman (like a salesman) in the offering, ie either buying the notes from the company and re-selling to clients or just brokering the offering between the company and willing investors. This is a small point.
The cash they raise from offering these debt instruments they will use to repay the principal on the $400 million of old notes, plus accrued and unpaid interest and other things.
"book-running managers and co-managers", I'm not quite sure what means.
- 4 years ago
Market capitalization: the price of the inventory x the quantity of shares amazing. P/E: The fee of the stock divided via the gains per share. A related term is PEG. That's the P/E divided via the historic progress fee. It offers some indication of the PE with regards to the growth fee of the corporation. ROE%: Return on fairness. The gains divided by way of the equity of the enterprise. The fairness is the booklet value, not the market price. It's esentually what the property of the corporation are worth but involves "excellent will" which is not valued at some thing. Good certainly it maybe however by and large no longer. Dividend yield: the dividend divided by means of the cost of the stock.