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Re:Elon Musk makes $43B unsolicited bid to take Twitter private by phkahler on Thursday April 14, 2022 @07:21PM (#31034746)
>> The trading price is a good reference price, but it's not the "right price" for everyone.

But it's the only price based on facts rather than opinion.

Re:Elon Musk makes $43B unsolicited bid to take Twitter private by afiori on Friday April 15, 2022 @05:13PM (#31045915)
it is also the price of what is currently for sale, most shares of most companies are not actively for sale at their current price.

Every market participant has a buy price and a sell price for one share influenced by their personal opinions and the state of the whole market; each at a different level and trading price is only calculated on actual trades. So all the shareholders that are unwilling to sell for any of the current offers do not influence it.

Yet if you were to buy 100% of the shares then you would eventually have to climb up to their price.

Re:Elon Musk makes $43B unsolicited bid to take Twitter private by phkahler on Monday April 18, 2022 @01:49PM (#31074074)
This is an interesting point I never really thought about. There is a distribution of buy prices and another distribution of sell prices. But if we plot these on the price axis there will be NO overlap because all shares in that region have been traded. I wonder if there's a way to sample these distributions to get the bigger picture.