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Posted
41 minutes ago, ValueMaven said:

Does anyone know how or why shares outstanding declined by 25% in 1991?  

'25% decrease in the average number of shares outstanding' -- from the 1991 report

 

 

One year around that time, FFH's valuation was bat-shit crazy and FFH issued a boat load of shares.  Then the price tumbled a year or two later and they bought back a boat load at a much lower price.  I don't recall the specific years that occurred, but your mentioning a large drop in shares outstanding does not come as a surprise.  One of the complaints about FFH in late-90s and early-00s was that a large chunk of the shareholders' equity was created by issuing an repurchasing rather than simply making money the old fashioned way.   I never really viewed that criticism very favourably as you make money however you can....

 

SJ

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