334
4 Big Tech giants have plowed over $1 trillion into stock buybacks in 10 years — more than Tesla or Meta's entire market value (markets.businessinsider.com)
submitted 3 years ago by [M, B] to c/technology@lemmy.world
39 comments fedilink hide all child comments
 

4 Big Tech giants have plowed over $1 trillion into stock buybacks in 10 years — more than Tesla or Meta's entire market value::Apple poured over $600 billion into buybacks in the decade to March 31, exceeding Alphabet, Microsoft, and Meta's combined spending.

you are viewing a single comment's thread
view the rest of the comments
[–] 1 point 3 years ago (6 children)

as then the company is no longer saddled with their primary responsibility as making money for their stockholders.

Hah! If only that were true.

  • permalink
  • fedilink
  • source
  • parent
  • hideshow 6 child comments
    •
  • [+] 2 points 3 years ago* (last edited 2 years ago) (5 children)
    [deleted]
  • permalink
  • fedilink
  • source
  • parent
  • hideshow 5 child comments
    •
  • [–] 3 points 3 years ago (4 children)

    What I'm trying to say is, these companies don't use stock buybacks with the intention of going private. They're doing stock buybacks to keep the stock price high, so they continue to please stockholders.

    Stockholder pleasing is unfortunately not going away anytime soon.

  • permalink
  • fedilink
  • source
  • parent
  • hideshow 4 child comments
    •
  • [+] 1 point 3 years ago* (last edited 2 years ago) (3 children)
    [deleted]
  • permalink
  • fedilink
  • source
  • parent
  • hideshow 3 child comments
    •
  • [–] 1 point 3 years ago (2 children)

    The companies value doesn't change, but shareholders hold X number of stock, so to them their portfolio improves.

    When companies split their stock, it's to keep the price at a reasonable amount for people to buy - when 1 stock is worth $100 it makes the "minimum buy-in" very high. If the stock is split 1:10, the share price drops by 10x but all shareholders get 10x more share, so it doesn't affect them much.

    Ultimately listed companies work for shareholders' benefit.

  • permalink
  • fedilink
  • source
  • parent
  • hideshow 2 child comments
    •