At-the-Market Offering (ATM)
Content
Definition
At-the-Market Offering (ATM) is a type of offering from a company that is made at the current market price of its shares.
Usage and Context
Companies use ATM offerings to get money without making their stock prices go up or down too much. They sell shares slowly and at the current market price, so it doesn`t cause big changes in the value of their stock.
Frequently asked questions
- What is ATM in stock market? ATM in the stock market is when a company sells its shares directly at the current market price.
- What is attribution analysis and risk return comparison? Attribution analysis helps investors understand why their investments succeeded or failed, while risk-return comparison measures the balance between investment risk and potential reward.
- What are the 4 types of attribution? The four types of attribution in business are time-weighted, money-weighted, security selection, and sector allocation. These help investors understand where their gains or losses come from when investing in startups.
Benefits
An At-the-Market Offering (ATM) lets companies sell shares directly to the market at current prices, giving them flexibility and possibly avoiding discounts.
Conclusion
In conclusion, At-the-Market Offering (ATM) allows companies to sell shares gradually at current market prices, providing flexibility while avoiding significant impacts on stock value.
