Eli5: Why do companies care about their stock prices?

1.50K viewsEconomicsOther

From my little understanding, company’s issues stocks to raise money. So once the company’s sell those stocks, why does it stock prices matter to them?

In: Economics

37 Answers

Anonymous 0 Comments

Key decision makers themselves own stocks or receive compensation in stocks. They have an interest in keeping the price up, sometimes with excessive short-termism.

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