| Dilution | |
 A reduction in earnings per share of common stock that occurs through the issuance of additional shares or the conversion of convertible securities. |
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 Adding to the number of shares outstanding reduces the value of holdings of existing shareholders. |
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 Stock Basics Tutorial - If you're new to the stock market and want the basics, this is the tutorial for you! Convertible Bonds: An Introduction - Find out about the nuts and bolts, pros and cons of these securities. The Lowdown On Stock Buybacks - When the going gets tough, companies often buy their own stock. Find out how this can affect shareholders. |
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