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criscarson wrote in post #2374:
I then recommended Mindspring to him, saying that I thought it was (let the flaming begin) a better value than AOL.Why, you ask? Let the numbers speak for themselves: MSPG: 1.3 million customers, 26 million shares outstanding AOL: 15 million customers, post-split 900 million shares outsanding which translates to; MSPG=1 customer for every 20 shares, AOL= 1 customer for every 60 shares. Which company is building better shareholder value?
criscarson,
It is unclear to me how computing a customer per share ratio shows me that MSPG is building better shareholder value. For example, under your computations, if MSPG declared a 3-for-1 split today, it would have a 1 customer for every 60 shares ratio just like AOL. If MSPG declared a 4-for-1 split today, would that mean that AOL is building better shareholder value?
Reid.
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