SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Politics : American Presidential Politics and foreign affairs
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: MCHVE who wrote (71533)9/2/2015 3:50:44 PM
From: TimF   of 71588
 
Your conflating stock buybacks and stock option grants. They are two different things. The later might provide part of the incentive for the former, but if there is any looting involved in the combination its the option grants not the buybacks.

Option grants can amount to the owners of the company effectively over paying for management. In most cases looting would be too strong of word to describe it, but in some cases it might be appropriate.

Buybacks shouldn't normally give a brief blip up to stock prices at a long term cost. They reduce the number of shares outstanding in the long run as much as they do in the short run. (Other factors, option grants being one of them, might increase the number, at the same time but those are separate actions then the buybacks).
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News