Stock buybacks boost shareholder value by repurchasing stock. This practice can drive stock prices higher.
Firms like Apple combine buybacks with dividends. Investors consider them evidence of strong balance sheets.
Yet buybacks are controversial. Opponents argue that they prioritize short-term gains. Governments in several regions have introduced stricter regulations.
Still, buybacks help balance capital allocation. Apple, for instance, buy golar lng shares uses buybacks while still innovating.
In summary, stock buybacks are a tool that can add value. Investors need to judge case by case.
