Dear Dr Stock

Friday, May 31, 2002
Time: 05:51 AM
question:
what happens when a stock is delisted?

When a stock is delisted you can have your broker send you a form called a "Worthless Stock Certificate" letter. Your accountant can then write the losses off.

From: K.C. Thomas Wednesday, May 29, 2002 7:20 AM

Question for Dr-Stock

Is there a website available, by corporate name, to determine the CUSIP for the stock? Thanks

Yes there is a website go to: www.cusip.com

From: ab1000000@yahoo.com
Thursday, May 23, 2002 Time: 10:10 PM
question:
Back again. What's the difference between a stock split, and a stock dividend? When a company issues a stock dividend, is the stock price adjusted just like it is for a stock split?

Hi AB,
A stock split is used when a company feels the price is to high a will more times then not split it in half thus attracting buyers.
A stock dividend must be declared and you will get paid in the form of a "interest" payment. Similar to having money in the bank. The companies are usually blue chip, with a steady cash flow. Utility companies are the most popular investments.

From: ab1000000@yahoo.com
Tuesday, May 14, 2002 Time: 06:49 PM
question:
I bought 10 shares of a stock that has split recently. I bought the
shares before the record date, but sold them before the payment date. Currently I do not own any shares. Am I entitled to receive 10 shares, priced at the after-split price, because I held the shares at the record date? Or would I need to hold shares from the record date clear to the payment date before I qualify for the split?

Hi AB,
Good question. You have to hold the shares on "payment" day.
When a company announces a split they will tell you the payment date and you must hold, then sell.
Example: IBM announces a 2 for 1 split May 15th, with payment date being June 15th. IBM's stock will actually split after the market closes on May 14th and you will see the additional shares in your account on the 15th as well as the stock price will be adjusted.

Wednesday, May 01, 2002 904 PM

Question for Dr-Stock

What does a stock broker do, and what is the average annual wage for a stock broker ?

A broker is a consultant who through a series of questions finds out what your "personal" financial goals are.

Will it be long term or short term gains, high risk or low risk investments. The broker will make recommendations of primarily stocks and hopefully will make you money in the process, but nothing is guaranteed.

He or she is paid via commissions and collects a commission whether you make money or not. During the good times a broker can average over $250,000 to a million plus a year.

From: benzaaron75@hotmail.com Monday, April 29, 2002
question:
I have 2 or 3 stock certificates from 6 different companies. How can I sell them?

If you have a brokerage account deposit them, if you don't have an account i would open one with a discount broker. Once the "certs" are deposited you will be able to find out what the value of the stocks are as they have what is called a "cusip" number. This number is like a catalog number and it will state if the stock has split over the years.

question: Dr. Stock,
I own 250 shares (fifty percent) of a small security and automation
company in which my partner wants to but me out entirely. How do I go about determining a fair market value of my privately owned stock?

Since this is a privately held company there is no way to determine what the market value would actually be. If this was a company that was possibly being looked at to be bought out then the price would be determined by the other company doing standard accounting principals and also how they feel your company would enhance their bottom line by the takeover, thus they would make you and your partner a deal based on the price of their stock and cash, or an all cash deal. But in todays market you could have the best run company and have great sales and the stock would probably not be at a price you would deem as "fair value".

From: blainekehl@shaw.ca Thursday, March 21, 2002 02:02 PM

question: i have shares in a company (westjet airlines) that are about to split. should i sell now while the price is high or wait until after the split.

Hi blainekehl,
Whenever I own a stock that is ready to split I sell on the "first" day of the split. Example: If you had 100 shares of a stock that was going to split 2 for 1 you would have 200 shares. The day those shares are in my account I sell.
The reason behind a split is to make the price more attractive to investors but the reality is that there are now more shares in the "float" thus diluting the stock. It will now take in some instances double the buying to keep the stock up in price and in a weak enviroment more investors are likely to cash in their chips then to hold.

question: IS IT A GOOD IDEA TO BUY A COMPANY AT ITS ALL TIME HIGH STOCK PRICE?

Hi Shaboski,
If a stock is at an all time high and it just reached it, wait for it to
pull back about 10%. There should be profit taking after it hits the high, but if there is enough good news or momentum it should break it again and go to the next level.....I like the addage "Buy low, Sell High" so i tend to look for the stocks near the bottom of a particular sector ie:software, and if there is no bad news, fundamentals look good and the chart looks good i will be a buyer.

question: What are your thought`s on EVERGREEN MUTUAL FUND`S? WHAT MUTUAL FUNDS DO YOU ADVISE TO INVEST IN AT THE CURRENT TIME?? THANK`S!

Hi nom,
i cannot give you an honest opinion on Evergreen, as i do not follow it.... I invest in individual companies and build my own funds that way...
But i do like the Templeton Foreign fund right now and any fund that is "SMALL CAP" related.
I have never trusted mutual funds as i feel they have a "side deal" with most fund mangers and are being paid compensated to buy large blocks of stock for the fund.
And as you have seen by the fiasco with Enron, funds that held that stock are hurting whereas an individual could have sold anytime.

more answers & more answers... Ask a question now and find out!