Comment on Nvidia insists it isn’t Enron, but its AI deals are testing investor faith
UnspecificGravity@piefed.social 2 weeks agoThe company absolutely does own shares of itself and it’s ability to secure credit and just engage in business in general depends of the value of that holding.
wewbull@feddit.uk 2 weeks ago
No. The board can decide to issue more shares, but this is a sub-dividing of the already issued shares and so normally requires a vote from the shareholders. Major shareholders normally sit on the board, so the two groups overlap but are legally distinct.
If a company buys it own shares, it’s normally a “buyback” and the shares cease to exist.