Bloomberg (February 7)
2019/ 02/ 09 by jd in Global News
Stock buybacks are under attack in Congress, but the market has already “soured on the strategy. Last year’s trillion-dollar splurge didn’t stop the stock market from falling for the year.” Furthermore, the S&P 500 Buyback Index shows that firms conducting buybacks have been outpaced by the market two years in a row. “With stocks expensive, using shareholders’ money to buy at inflated prices is a bad deal. The buyback phenomenon could die a natural death.”
Tags: Bad deal, Buybacks, Congress, Expensive, Market, S&P 500 Buyback Index, Shareholders, Stock
