who can’t figure out how to grow revenue and throw money away instead of investing in tha business
https://www.reuters.com/article/us-cisco-results/cisco-tops-estimates-as-turnaround-takes-center-stage-idUSKCN1FY30M
7 replies (most recent on top)
This is great : a couple of years of buybacks at this rate Cisco will be dead within 5 years.
Stock buybacks do not improve company health. Increasing revenue and lowering costs does. Buybacks just minipulate the earnings per share number to give the illusion of improved financials. Real leaders would be investing in new products and growing market share for existing products.
Too right. It absolutely makes no financial sense to make Cisco attractive to investors and certainly employees with stock should be seriously unhappy that management have acted to increase share prices and boost ratios. It's shocking.
Just Google it says the guy who can't Google it and can't give a good reason for stock buybacks. The reason for stock buybacks is to make the major shareholders money so they don't oust the self serving executives who hold stock and are getting rich. There is no reason that benefits the company, products, customers or employees.
1niu
Sorry mate. It's not quite that simple. True. Buybacks don't necessarily increase product quality but there are still a whole host of reasons to have them. Just Google it. Maybe you should drink some koolaid yourself.
-twg has drunk the koolaid. Explain how stock buybacks improve product quality, customer satisfaction, employee retention, long term growth and company survival or anything that really matters. Dimwit.
Oh too funny "buybacks are for dimwits". I hope you are not in the finance team. Have a look on the web the rationale for buybacks. They are many and varied. A comment on a layoff site that says "buybacks are for dimwits" has got to be ironic...