4 Big Tech giants have plowed over $1 trillion into stock buybacks in 10 years — more than Tesla or Meta’s entire market value::Apple poured over $600 billion into buybacks in the decade to March 31, exceeding Alphabet, Microsoft, and Meta’s combined spending.

  • KevonLooney@lemm.ee
    link
    fedilink
    English
    arrow-up
    1
    arrow-down
    1
    ·
    1 year ago

    put this money into the stock value itself instead of the company

    It’s the same thing.

    manipulating the stock price

    It’s not because they announce it way ahead of time. Manipulation would be Apple buying a bunch of stock right before they announce the new iPhone, then selling after the announcement. That’s very illegal.

    Giving money to existing shareholders is completely legal (as long as you give it equally per share) because it’s the shareholders’ money. They own the company.

    • hark@lemmy.world
      link
      fedilink
      English
      arrow-up
      1
      arrow-down
      1
      ·
      1 year ago

      Your example would be manipulating for the company. Stock buybacks primarily manipulate for the execs and large shareholders. Even though they have reporting requirements, they benefit from the general increases in price.

      If the company wants to give money to shareholders, they could do that in the form of dividends.

      • KevonLooney@lemm.ee
        link
        fedilink
        English
        arrow-up
        2
        ·
        1 year ago

        No one is being manipulated. The company is handing the stockholders their own profits. Dividends are the same thing, just taxed differently.