Why might two bonds from the same issuer, with the same maturity and coupon, have different prices?

The reason why one bond might be priced differently from another, despite having the same issuer, maturity, and coupon rate, is because it could be convertible. A convertible bond gives the bondholder the right to convert the bond into a predetermined number of shares of the issuer's stock, usually at specific times during the bond's life. This conversion feature adds value to the bond because it offers potential upside if the company's stock performs well.

Investors are often willing to pay a premium for a convertible bond compared to a standard bond without conversion features due to the additional potential for equity upside. Therefore, even when two bonds have the same fundamental characteristics like maturity and coupon, the presence of the convertible option can lead to a higher price for the convertible bond.

In contrast, attributes like market recognition or buybacks do not inherently alter the fundamental value derived from the bonds’ structures and features, such as convertibility. For example, while market recognition can influence demand and thus pricing, it doesn't change the bonds' core attributes, meaning the price difference may not stem from intrinsic value differences. Similarly, duration pertains more to interest rate sensitivity rather than inherent bond features, and a buyback directly affects the supply of bonds, potentially influencing price but not creating a difference based