Tuesday, February 20, 2024

February 20

4:12 PM Microsoft has an intrinsic value of 275 billion and its stock value is over 3 trillion which means 91.66% of it is speculative.

Do people buy it for dividends or only for financial (speculative profit)?

Last year Microsoft payed under 3 dollars dividends per 400 dollar share (as of today). However its share value rose from 250 to 400 within the passed year. So there goes the answer.

Who owns Microsoft? I know Angela has got some on her 401k so i assume it's retirement funds. I did some searches and i ran into the old problem. Vanguard and Black Rock, top shareholders for Microsoft.

Cause if i look at Vanguard, i see they own each other which confuses the heck out of me. That is Microsoft owns 250 billion dollars of Vanguard while Vanguard owns 268 billion dollars of Microsoft.

Capisci?

It is the old problem of circular ownership which on a suspicion i tried to solve during a time internet and sites and my computers were much slower. But i think i could tackle it one of these days, revive an abandoned project and build a spreadsheet with the cross ownership of major corporations which will take some time but i promise the results will be spectacular.

Yes my suspicion is they all own each other to the point there is no real money in the system. So it's not just a bubble, it's a double bubble.


8:50 One more thing aroused in my mind tonight. If Microsoft's intrinsic value (assets - liabilities) is 275 and it owns 250 of Vanguard which are assets, than what is left of Microsoft?

9:10 And of course the extreme form of circular ownership which is own ownership. In other words public companies use their money (wondering what money, profit maybe? hopefully not loans) to buy (back) their own shares, reducing the number of shareholders. There must have been a reason it was not legal until 1982.

11:52 Astea sunt absolventele Academiei de Poliție din România? Și de ce au roșu alb verde pe față și arată toate ca niște modele de tiktok?

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