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Overhanging Bond

Definition:

A concertible bond issue that investors do not convert into common stock because the stock has not appreciated in value.

Investing Essentials


Copyright © 2011 Campbell R. Harvey, Professor of Finance, Fuqua School of Business at Duke University

Term of the Day

Stock buyback

A corporation's purchase of its own outstanding stock, usually in order to raise the company's earnings per share.

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