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Your company you feel is undervalued, the current share price is $70 per share, but you feel that 80 is the correct price. Assuming you
Your company you feel is undervalued, the current share price is $70 per share, but you feel that 80 is the correct price. Assuming you are correct and that tomorrow the whole world will agree that the correct price yesterday should have been $80 per share, you are considering repurchasing shares now when they are undervalued. The firm has 8 million shares outstanding no debt, but the firm does have 100 million in cash owned by the firm
What will be the share price be tomorrow if you repurchased today at the current market value?
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