zlacker

Buybacks sacrifice long term investment for short term stock price gains.

>>intale+(OP)
Buybacks do not do that any more than dividends do. Buybacks merely allow publicly listed stock owners to precisely time their capital gains tax events.

Surely, there is some amount of income that a business’s owner is allowed to pocket without bad intentions, which may or may not come at the cost of long term investments. Especially in stable/declining businesses.

>>lotsof+M5
No, buy packs are pure market manipulation. There is a reason why they were banned prior to 1982. It's a SEC rule that can easily be reversed too but the rich love their ability to manipulate markets for their benefit.

>>lotsof+M5
> Buybacks do not do that any more than dividends do.

There's at least a clear relationship if the dividend is reinvested.

If the dividend is spent, though, eg by someone in retirement, then they're different. Under buybacks, the retiree would have to sell some shares to get cash, and would eventually run out. Under dividends, the retiree would be able to continuously pocket money.

>>nullho+Ns
so sell some shares? you can still make the math work out the exact same.

if the stock goes up 10%, sell 10%. The value you hold is the same.