11504348
2022-03-22

Share buybacks are often a sign that future business and R&D opportunities are limited. Would rather see this money invested in growth, be it organic or inorganic, instead of spending money to pacify shareholders.

Alibaba Rose over 10% after Raising Stock Buyback Plan to $25B
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Comments

  • MortimerDodd
    2022-03-22
    MortimerDodd
    But it also shows that the company is very focused on the stock price.
    • MortimerDoddReplyChaosis: 
      You're right, the level of negativity is indeed higher than expected.
    • ChaosisReplyMortimerDodd: 
      Tough spreading positivity considering the market sentiment of investing in China. Hot money in jittery environments want actions, not just words. And most of the negativity is outside their control.
    • MortimerDoddReplyChaosis: 
      But maybe they can unleash the positives in lieu of buybacks.
    • MortimerDoddReply11504348: 
      You're right, it's wrong to focus too much on short-term stock prices.
    • ChaosisReply11504348: 
      True - hence always DYOD. nothing beats a good risk-reward analysis. Even if one is wrong, at least its with eyes wide open
  • LouisLowell
    2022-03-22
    LouisLowell
    I believe this is better than a company that does nothing.
  • HilaryWilde
    2022-03-22
    HilaryWilde
    According to your statement, the share repurchase is really not so good.
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