Re:Intel to Receive $8.5B in Grants to Build Chip Plants
by kortilla on Wednesday March 20, 2024 @10:39AM
(#39767248)
Buybacks and dividends are the same thing. Money leaves the company to go to shareholders. Neither is better/worse for R&D.
Re:Intel to Receive $8.5B in Grants to Build Chip Plants
by kaibee on Wednesday March 20, 2024 @10:23AM
(#39767002)
Stock-buy backs are basically just dividends with a better tax treatment.
Re:Intel to Receive $8.5B in Grants to Build Chip Plants
by consumer451 on Wednesday March 20, 2024 @10:38AM
(#39767236)
There is also the benefit to any exec whose compensation is related to a rising stock price, right?
Re:Intel to Receive $8.5B in Grants to Build Chip Plants
by s1artibartfast on Wednesday March 20, 2024 @11:12AM
(#39767744)
That depends on the comp structure.
Usually comp structures look at multiple metrics that owners want to see. Owners prefer stock price to dividends, so they reward it more.
This is the main reason that I dislike stock buy backs, they reduce R&D investment.
If you want to give your investors a prize, pay a dividend. Otherwise, invest in your company!