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Right. Buybacks don't raise the shareprice relative to doing nothing, but they do raise the shareprice relative to paying dividends. Maybe it would be better to
by OscarCunningham 7y ago
Right. Buybacks don't raise the shareprice relative to doing nothing, but they do raise the shareprice relative to paying dividends. Maybe it would be better to describe this as "dividends lower the share price".
- gbear605 7y agoI suppose the converse is that any profitable company’s share price will go up continually, as long as they don’t give dividends.