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share buyback

Wwwu8y ago
1. in share buyback, why companies buying their own shares is a good signal ???
John MoffatJohn MoffatTutor8y ago#1
It means they have spare cash which suggests they are doing well :-) Shareholders like it, because those that choose to sell get the money. Those who not sell find that their shares are worth more (because there are fewer shares to divide the value of the business between).
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