Re:G7: Rich nations back deal to tax multinationals
by dvainsencher on Sunday June 06, 2021 @01:09AM
(#27410946)
FTFY: "they're _almost_ the same thing."
Dividends lower stock price by moving cash from company to owner, buybacks increase stock prices[1] by de-diluting, so only one of those is evidence of the CEO (whose compensation is often tied to stock price) acting on his own interests. Also taxation is different.
[1] https://www.investopedia.com/articles/active-trading/073015/...
as a stock holder there’s no difference between the stock going up 10 cents from a buyback versus me getting a 10 cent dividend. other than the fact that i can have more control as a shareholder in the buy back