4 ms·
I’m not getting this headline. Buy backs are something done with profit. So replace the headline with “s&p 500 Profits now outpace all R&D spending in the US”.
by mrfusion 7y ago
I’m not getting this headline. Buy backs are something done with profit.
So replace the headline with “s&p 500 Profits now outpace all R&D spending in the US”.
- rogerkirkness 7y agoTechnically you can borrow money very cheaply and do buybacks with it, which is actually happening as much as using profit.
- nrb 7y agoBuy backs are increasingly being done with debt[1] and corporate debt-to-gdp ratios are way out of whack [2]. 1: https://www.cnbc.com/2019/07/29/buybacks-companies-increasingly-using-debt-to-repurchase-stocks.html https://www.cnbc.com/2019/07/29/buybacks-companies-increasin... 2: https://www.forbes.com/sites/mayrarodriguezvalladares/2019/07/25/u-s-corporate-debt-continues-to-rise-as-do-problem-leveraged-loans/#6eba9bea3596 https://www.forbes.com/sites/mayrarodriguezvalladares/2019/0...
- CyanLite2 7y agoBuybacks are happening without profit. Companies are borrowing money to conduct buybacks.
- derision 7y agosource?