3 ms·
Yes. If you have more money than you're able to make good use of improving the company (r&d, acquisitions, new locations, whatever), you can give it back to in
by tbrownaw 1y ago
Yes.
If you have more money than you're able to make good use of improving the company (r&d, acquisitions, new locations, whatever), you can give it back to investors. Which can be either a dividend or a buyback, and in theory (ie, ignoring pesky details like taxes) those are supposed to be equivalent.
- JackFr 1y agoAn enterprise can be financed with debt or equity. Issuing debt to buy back shares is simply changing the capital structure of the firm. It lacks a moral component.
- deleted 1y ago[deleted]