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Google is effectively paying dividends to the tune of 60 billion dollars a year through share buybacks [0]. Share buybacks reduce the number of outstanding sha
by mrep 5y ago
Google is effectively paying dividends to the tune of 60 billion dollars a year through share buybacks [0]. Share buybacks reduce the number of outstanding shares increasing the P/E ratio which should increase the stock price. You can realize your dividend by selling a proportional amount of stock which might be bought by Google themselves.
[0]: https://ycharts.com/companies/GOOG/stock_buyback https://ycharts.com/companies/GOOG/stock_buyback
- im3w1l 5y agoSo I figured with all the stocks they are handing out to employees, they would have have a net increase in outstanding shares. And this used to be the case. But in 2018 the number of shares peaked and now they are indeed decreasing.