Reminder that stock buybacks were illegal until the Reagan administration in 1982

https://i.redd.it/6eiltfj8dghf1.png

by Conscious-Quarter423

10 comments

  1. This is what killed Intel. Using profits to stuff the pockets of shareholders instead of reinvesting it into the business. Not suggesting shareholders shouldn’t get paid, but you can’t sell your future for a good quarter or five.

  3. I work at a big 4 bank and they are talking about record profits and how well the company is doing and they are doing VOEs (voice of the employees) and last year they gave most employees a 2% raise and just recently they made it so you can’t negotiate salaries anymore for intercompany moves and promotions, it is capped at 15% and lateral movements you get no change in salary at all.

    All thanks to “shareholder value” lmao

  4. I have no problems with stock buybacks.

    But if the company even receives 50 cents in government subsidies or business they should be banned from doing so.

    I mean YES, I would prefer they invest said money to grow.

    But it can’t always be the case.

  5. I’ll never get the hate on this. If you don’t like stock buybacks that’s fine you don’t buy companies who do them. Good luck with that. It’s essentially a more tax efficient dividend which most ppl are reinvesting anyway.

    Oddly I don’t see the same rage with SBC and diluting shares…

  6. If these companies want to burn their cash buying their stock at the top, then no bailouts when their stocks go to shit soon.

  7. A major flaw is the reliance upon Milton Friedman’s stance on running a business:
    It’s all about the shareholder and nothing but the share holder
    Forget the other stakeholders . Forget the customers forget the employees and most of all forget the country that provides the infrastructure that makes you successful

  8. Shareholders rewarded simply for ownership. Reinvest it into the workers

  9. I never understood the hate for buybacks. Stock buybacks are effectively identical to a dividend, yet there isn’t ever any outcry about corporations increasing their dividends. Why should one form of returning cash to shareholders be so controversial while the other isn’t?

  10. This the last of the money printer go brrrrrrrrr cash? Rich people propping themselves up into the next tier of godly rich.

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