Convertibles

Discussion in 'Trading' started by just21, Sep 3, 2003.

  1. just21

    just21

    Is the issuance of a convertible a sign that a stock will trade sideways or lower, as the buyers of the convertible sell the stock short to hedge?
     
  2. They are also dilutive to earnings if converted because they increase the share base, so the stock usually sells off on announcement of a convertible deal.