Originally Posted by
full of luv
Again, besides paying you absurds amounts of wages of course.....what would you have them do with buckets of free cash pouring into the company coffers which they ultimately don't feel comfortable expanding operations with? When you buyback shares you also spread the dividend going forward over fewer shares which again raises the stock yield. A well run company will do many things with it's extra cash.
You make a good point, in fact it would be a great point if the company did not borrow money for some of the buybacks. I agree the stockholders as owners should be high on the list for excess cash, I just don’t like buybacks. Isn’t there some mechanism that would allow a one time dividend bonus that would not raise the expectations for future dividends? If not maybe I will invent it.
Scoop