A Surprising Connection Between the Bull Market and Stock Buybacks

  • 📰 WSJ
  • ⏱ Reading Time:
  • 20 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 11%
  • Publisher: 63%

Belgique Nouvelles Nouvelles

Belgique Dernières Nouvelles,Belgique Actualités

Buybacks are more important than economic growth when it comes to equity-market performance, a study says

Buybacks are more important than economic growth when it comes to equity-market performance, study saysWhatever else you may think about stock buybacks, it’s quite likely that, but for them, the U.S. stock market today would be markedly lower.

That is the implication of a study published last year in the Financial Analysts Journal, “Net Buybacks and the Seven Dwarfs,” by three researchers from the Abu Dhabi Investment Authority. They found that net buybacks—the number of shares that companies repurchased across the entire stock market, less the number of new shares issued—explain the bulk of the intermediate- and longer-term...

 

Merci pour votre commentaire. Votre commentaire sera publié après examen.

Companies that print stock screw shareholders via corporate QE. Buybacks benefit corporate insider shareholders selling stock grants back to the company at inflated prices, screwing other shareholders who could receive dividends, and the corp stuck with unpaid bonds. Self dealing

Anyone who isn’t in the top 10% of earners could tell you that. It’s time for some trust-busting.

Surprising to whom, exactly?

Nous avons résumé cette actualité afin que vous puissiez la lire rapidement. Si l'actualité vous intéresse, vous pouvez lire le texte intégral ici. Lire la suite:

 /  🏆 98. in BE

Belgique Dernières Nouvelles, Belgique Actualités

Similar News:Vous pouvez également lire des articles d'actualité similaires à celui-ci que nous avons collectés auprès d'autres sources d'information.

There are signs that the 10-year bull market for stocks is ending, Jim O'Neill saysFormer Goldman Sachs Asset Management Chairman Jim O'Neill says volatility is doing something it hasn't done for 10 years. Ah Jim O'Neill presided over the WORST investment record of any company. Did anything he supervise make any money?
La source: CNBC - 🏆 12. / 72 Lire la suite »

Stock market trades at session low with energy sector, Boeing's stock weighingThe stock market traded at session lows with about two hours left in regular trade Wednesday afternoon. There appeared to be no direct catalyst for the...
La source: MarketWatch - 🏆 3. / 97 Lire la suite »

Cramer: Investor apathy for Lyft is a big positive for this bull marketJim Cramer says Lyft's 'ice cold' entrance to the Nasdaq turns out to be 'great news for the rest of the market because we don't want a flood of hot IPOs.' Valuing a company that makes no money and, by their own admission, may never make any money, at $25 billion is apathy? Wow, do I ever need a mind adjustment. oh thank god - i hope what i lost on $LYFT i can make back on the $SPY hitting ATHs
La source: CNBC - 🏆 12. / 72 Lire la suite »

Lyft stock is tumbling after a lukewarm market debut last weekLyft's market debut offers something of a gut check for Uber, Slack and Pinterest. I've used Lyft once in five years. I've used Uber 11 times in the past month. waitingforUber
La source: CNBC - 🏆 12. / 72 Lire la suite »

For the stock market, April is the strongest monthApril has been the strongest month for stocks over the past 20 years.
La source: MarketWatch - 🏆 3. / 97 Lire la suite »

This is the 'canary in the coal mine' for stocks, market analyst warnsMajor gains in the first three months of the year have brought indexes back within range of record levels. One market analyst says be weary of the market bounce as there are troubling developments on the horizon. Rumor has it the Democrats are running around with taxidermy trying to crash the market.
La source: CNBC - 🏆 12. / 72 Lire la suite »

'The spigot turned off': How the stock market fall clobbered corporate debtInvestors will be watching to see whether the steep decline was the remnants of 2018's late-year turmoil, or another sign that the economy is slowing.
La source: CNBC - 🏆 12. / 72 Lire la suite »