Buybacks are the preferred method of RETURNING CASH to shareholders, because dividends historically have been sticky. Buybacks are flexible.
Buybacks are also done to optimise the debt ratio, to minimise the firms cost of capital and thereby maximizing firm value.
Buybacks are the preferred method of RETURNING CASH to shareholders, because dividends historically have been sticky. Buybacks are flexible.
Buybacks are also done to optimise the debt ratio, to minimise the firms cost of capital and thereby maximizing firm value.