4 ms·
i really don’t get why people get upset over share buybacks but not dividends. they’re literally the same thing. as a stock holder there’s no difference betwee
by ffggvv 5y ago
i really don’t get why people get upset over share buybacks but not dividends. they’re literally the same thing.
as a stock holder there’s no difference between the stock going up 10 cents from a buyback versus me getting a 10 cent dividend. other than the fact that i can have more control as a shareholder in the buy back
- dvainsencher 5y agoFTFY: "they're _almost_ the same thing." Dividends lower stock price by moving cash from company to owner, buybacks increase stock prices[1] by de-diluting, so only one of those is evidence of the CEO (whose compensation is often tied to stock price) acting on his own interests. Also taxation is different. [1] https://www.investopedia.com/articles/active-trading/073015/dividend-versus-buyback-which-better.asp https://www.investopedia.com/articles/active-trading/073015/...