What if Microsoft goes on a shopping spree?

[Megadude]

Bitmap Frogs said:

Megadude said:
I am talking about market cap.

"MCAP. Market capitalization represents the aggregate value of a company or stock. It is obtained by multiplying the number of shares outstanding by their current price per share. For example, if XYZ company has 15,000,000 shares outstanding and a share price of $20 per share then the market capitalization is 15,000,000 x $20 = $300,000,000. Generally, the U.S. market recognizes three market cap divisions: large cap (usually $5 billion and above), mid cap (usually $1 billion to $5 billion), and small cap (usually less than $1 billion), although the cutoffs between the categories are not precise or fixed. In our example above, XYZ would be considered a small cap company. also called market cap."

 

You have no idea what you are talking about.

Microsoft as a corporation makes money. Whatever the perceived value of the shares reflected on the stock price is largely irrelevant since Microsoft doesn't need to perform operations with its own stock since they are churning over four billions of profit per quarter.

If you were talking about Sony, a corporation losing tons of money, then share value might have some relevance since they are in need of resources.

 

Then why are they firing 17% of their employees? I guess all those pinkslips will be somthing for them to perceive right?