If profits are reinvested in the corporation, then

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When profits are reinvested in the corporation, there are fewer funds available to distribute to stockholders. This means that the company has less money to pay in dividends to its shareholders, which can lower the value of the stock. The payments made to bondholders are not affected by reinvested profits as they are separate from shareholder dividends. The high profits may or may not result in larger dividends for common stockholders, as this decision is ultimately up to the company's board of directors. The company selling more bonds to pay dividends to stockholders is not a typical strategy as bondholders do not have any claim on the company's earnings, unlike stockholders.

If Profits Are Reinvested in the Corporation, Then