Follow along with the video below to see how to install our site as a web app on your home screen.
Note: This feature may not be available in some browsers.
Normal
Yes I understand your position. How does a 1% buyback increase the stock price by 25%?It’s not mathing Walter. This is not how dividends and buybacks work. Dividends devalue the company by their respective distribution percentage as a paid out gain. It’s why dividends are irrelevant really, but that’s another matter. Buybacks increase the price by their respective percentage as an unrealized capital gain in the share price. Are 72 billion in buybacks occurring in December that I didn’t hear about?Moreover the buyback hasn’t even occurred yet…
Yes I understand your position. How does a 1% buyback increase the stock price by 25%?
It’s not mathing Walter. This is not how dividends and buybacks work. Dividends devalue the company by their respective distribution percentage as a paid out gain. It’s why dividends are irrelevant really, but that’s another matter. Buybacks increase the price by their respective percentage as an unrealized capital gain in the share price. Are 72 billion in buybacks occurring in December that I didn’t hear about?
Moreover the buyback hasn’t even occurred yet…