Discussion Board

A press release has a significant negative impact on your firm’s stock price, reducing its value by more than 50 percent in a single day of trading! You gather from conversations in the hallway that the company’s fundamentals remain strong, aside from this onetime event. You sec this as a great opportunity to buy stock. Is it appropriate to act on this and to purchase company stock? Does it make a difference whether you buy 100 shares or 1.000 shares? Is it OK to discuss the ‘dilemma” with family members and friends? What should you do if you do mention it to family and Mends but then later feel uncomfortable about it?

 

 

 

Sample Solution

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