flood of buybacks

[transporter]

Companies announced $433.6 billion in share repurchases during the period, nearly doubling the previous record of $242.1 billion in the first quarter, according to market research firm TrimTabs.

https://www.cnbc.com/2018/07/02/cor...ly-thing-keeping-the-stock-market-afloat.html

Now who would have ever suspected that companies would give their tax cuts and repatriated money to their stock owners??? Who would have ever suggested such a travesty could occur?

Anyone (Gilligan) who thought the companies would pour that money into worker raises and corporate expansion were 1. wrong and 2. don't understand much about large multinationals (which are the companies who got the biggest windfalls).

 

[Chris0nllyn]

I don't mind my almost 17% dividend payout this quarter.

 

[black dog]

I do believe that with many large corporations the largest stock holders are the employees. Those still working and retired.

 

[Merlin99]

https://www.cnbc.com/2018/07/02/cor...ly-thing-keeping-the-stock-market-afloat.html

Now who would have ever suspected that companies would give their tax cuts and repatriated money to their stock owners??? Who would have ever suggested such a travesty could occur?

Anyone (Gilligan) who thought the companies would pour that money into worker raises and corporate expansion were 1. wrong and 2. don't understand much about large multinationals (which are the companies who got the biggest windfalls).

Why is this bad? You've brought it up before and never gave an answer to that question. What is wrong with a company buying back their stock and taking back control of their future?

 

[Gilligan]

Awesome!!! Thanks TJ!

 

[Bird Dog]

I don’t think Tranny has a 401K......so she doesn’t know the benefit from that.....

 

[PeoplesElbow]

Buybacks are a good sign, it means the businesses think that they are doing better than their stock price indicates. It means things are going better on main street than wall street, and that is a good thing.

 

[stgislander]

Buybacks are a good sign, it means the businesses think that they are doing better than their stock price indicates. It means things are going better on main street than wall street, and that is a good thing.

Not in Tranny's world.

 

[GURPS]

Buybacks are a good sign ....

I was always told it was a bad thing, companies don't know what else to do with their money

 

[PeoplesElbow]

I was always told it was a bad thing, companies don't know what else to do with their money

How can companies having enough money that they don't know what to do with it be a bad thing? Having the money in the first place means things are going good.

They simply don't start buybacks because they have cash that they simply don't have anything else to do with, they do it because they consider their stock a good value.

The folks that consider buybacks bad are the ones that chase growth and only growth.