Re:Google Cuts Jobs in Engineering and Other Divisions
by _heimdall on Thursday January 11, 2024 @07:10AM
(#38951173)
A perfect example of how the only meaningful product of a publicly traded company is the stock itself.
Re:Google Cuts Jobs in Engineering and Other Divisions
by sumtechguy on Thursday January 11, 2024 @09:43AM
(#38952792)
I think they missed the idea that everything has a market. It is more of a macro econ class idea than the micro one most people take. Stock has is a market in itself. As well as the product they sell. But so is the money. The inputs for those different markets are different. You have very nicely described the market for stock dividends.
Share buybacks decrease supply of shares relative to demand, so share prices increase.
Share buybacks are likelier to happen the more profitable a business is.
A higher share price at time t+1 than time t means the shareholder can earn a profit if they buy a share and then sell later.
Ergo, profits mean something.
Edit: as a reply to the comment below this, please take a moment to look around and identify anything providing you utility that was the product of a publicly traded company.