easy · Investment Banking
How are Restricted Stock Units (RSUs) typically treated when calculating fully diluted shares outstanding compared to stock options?
- RSUs are treated as debt-like obligations and added to Enterprise Value instead of the share count.
- RSUs use the Treasury Stock Method but typically result in lower dilution due to higher strike prices.
- RSUs are always excluded until they are fully vested and delivered.
- RSUs are added directly to the share count without a buyback offset because they have no exercise price.
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