Shareholders like buybacks over dividends for tax reasons. You don't pay taxes on a stock's appreciation until you sell it, so the investor chooses when the ta

Shareholders like buybacks over dividends for tax reasons. You don't pay taxes on a stock's appreciation until you sell it, so the investor chooses when the taxable event occurs. I'm planning on liquidating most of my investments after I retire and have no wage income, so I save a lot of money when a corporation does buybacks instead of disbursing dividends this year when I'm employed and in a higher tax bracket.