starr67 :
the ticker with the "w" is probably the warrant. some company has their stock and also have a stock with a "w" which is their warrant stock. idk what warrant are.
Josh Randolphスレ主 :
I'm almost certain that you are correct, the "w" is for warrant. I dug a little bit more and found the following definition at NASDAQ.com: A security entitling the holder to buy a proportionate amount of stock at some specified future date at a specified price, usually one higher than current market price. Warrants are traded as securities whose price reflects the value of the underlying stock. sounds interesting but warrant shares won't be a part of my portfolio. I'd probably end up losing them because I forgot the 'sell by date" and allowed them to expire. lol. thank you for responding, I appreciate it.
10baggerbamm :
when a company goes public many issue what is called a unit. a unit consists of one share of class a common stock and a warrant. a warrant is a future option that is a way that the company can raise additional money without incurring the cost of an underwriting. at some point in the future as designated it will say one warrant plus X dollars in cash is convertible into one share of common stock.. with the sound hound warrant it's one warrant Plus 11.25 equals a share of common (that's from my memory the exact amount of the cash it might be a few pennies higher or lower so don't beat me up over the penny difference or so) so what this means is there any point in time you the warrant holder could give the company the cash they would get it the company and you would be receiving one share of common stock now nobody in the right mind would convert and pay the company cash of $11 and change when the common stock is trading it barely over $5. if the stock come 2027 is below the strike price of the conversion then all the warrants expire worthless that means zero bid. if it is above that price you will get a notice that you have the right to exercise your warrant and converted to one share of common or you could just sell the warrant which will be a significantly higher price because now the common stock is above $11 in change.
Josh Randolphスレ主10baggerbamm:
thank you for the explanation, I understand how warrants work and what they are much better now. still, not for me though. that whole expiring worthless phrase kills it for me. that would be exactly what would happen. lol. ill stick with the regular stock for the near and long term future. makes sense though but I have one more question .... if I bought $SOUNDHOUND AI INC C/WTS 26/04/2027 (TO PUR COM) (SOUNW.US)$ at, let's say 2USD, would that give me 1 share of $サウンドハウンド・エーアイ (SOUN.US)$ now and the ability to convert or sell the warrant in the future for, whatever the common stock is prices at? I guess I'm asking if I would get one share for me along with a "warrant" share? or is it just one "warrant" share?
starr67 : the ticker with the "w" is probably the warrant. some company has their stock and also have a stock with a "w" which is their warrant stock. idk what warrant are.
Josh Randolphスレ主 : I'm almost certain that you are correct, the "w" is for warrant. I dug a little bit more and found the following definition at NASDAQ.com:
A security entitling the holder to buy a proportionate amount of stock at some specified future date at a specified price, usually one higher than current market price. Warrants are traded as securities whose price reflects the value of the underlying stock.
sounds interesting but warrant shares won't be a part of my portfolio. I'd probably end up losing them because I forgot the 'sell by date" and allowed them to expire. lol. thank you for responding, I appreciate it.
10baggerbamm : when a company goes public many issue what is called a unit. a unit consists of one share of class a common stock and a warrant. a warrant is a future option that is a way that the company can raise additional money without incurring the cost of an underwriting. at some point in the future as designated it will say one warrant plus X dollars in cash is convertible into one share of common stock.. with the sound hound warrant it's one warrant Plus 11.25 equals a share of common (that's from my memory the exact amount of the cash it might be a few pennies higher or lower so don't beat me up over the penny difference or so) so what this means is there any point in time you the warrant holder could give the company the cash they would get it the company and you would be receiving one share of common stock now nobody in the right mind would convert and pay the company cash of $11 and change when the common stock is trading it barely over $5. if the stock come 2027 is below the strike price of the conversion then all the warrants expire worthless that means zero bid. if it is above that price you will get a notice that you have the right to exercise your warrant and converted to one share of common or you could just sell the warrant which will be a significantly higher price because now the common stock is above $11 in change.
skinnydippi : thanks for asking this question. I was confused about warrants also.
Josh Randolphスレ主 10baggerbamm: thank you for the explanation, I understand how warrants work and what they are much better now. still, not for me though. that whole expiring worthless phrase kills it for me. that would be exactly what would happen. lol. ill stick with the regular stock for the near and long term future. makes sense though but I have one more question .... if I bought $SOUNDHOUND AI INC C/WTS 26/04/2027 (TO PUR COM) (SOUNW.US)$ at, let's say 2USD, would that give me 1 share of $サウンドハウンド・エーアイ (SOUN.US)$ now and the ability to convert or sell the warrant in the future for, whatever the common stock is prices at? I guess I'm asking if I would get one share for me along with a "warrant" share? or is it just one "warrant" share?
もっとコメントを見る...