Bill Ackman (Pershing Square founder) discusses how modern stock price inflation and social media influence create positive feedback loops for public companies.
“The fascinating thing about liquidity and valuation is The higher a stock price goes, and it's gonna sound sort of intuitive, but it's not, the more valuable the company becomes. You know, there's actually the increase in value of the company increases the value of the company, right? Because it lowers the cost of capital, it gives you more flexibility, gives you the ability to issue stock, raise capital, acquire other businesses”
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