Quiet period,
Definition of Quiet period:
For publicly-traded stocks, the four weeks before the close of a business quarter is also known as a quiet period. Here again, corporate insiders are forbidden to speak to the public about their business to avoid tipping certain analysts, journalists, investors, and portfolio managers to an unfair advantage – often to avoid the appearance of insider information, whether real or perceived.
A waiting period between the time a company submits a registration filing with the Securities & Exchange Commission (SEC) and the time when the company can publicly disclose the information contained in the filing. See Form S-1.
A legally mandated period of time preceding and following a company’s initial public offering when the company is prohibited from promoting its stock by releasing information not otherwise filed with regulators.
Prior to a company’s Initial Public Offering (IPO), the quiet period is an SEC-mandated embargo on promotional publicity. This prohibits management teams or their marketing agents from making forecasts or expressing any opinions about the value of their company.
How to use Quiet period in a sentence?
- With an IPO, the quiet period stretches from the time a company files registration paperwork with U.S. regulators through the 40 days after the stock starts trading.
- With publicly-traded companies, the quiet period is a reference to the four weeks before the end of the business quarter.
- The purpose of the quiet period is to preserve objectivity and avoid the appearance of a company providing insider information to select investors.
- A quiet period is a set amount of time in which a company's management and marketing teams cannot share opinions or additional information about the firm.
- The analysts havent yet released earnings estimates because of the quiet period after the companys IPO.
Meaning of Quiet period & Quiet period Definition