What does stock buyback mean?

Definitions for stock buyback
stock buy·back

This dictionary definitions page includes all the possible meanings, example usage and translations of the word stock buyback.

Princeton's WordNet

  1. stock buybacknoun

    a corporation's purchase of its own outstanding stock; increases earnings/share so stock price rises (which can discourage a takeover attempt)

Wikipedia

  1. stock buyback

    Share repurchase, also known as share buyback or stock buyback, is the re-acquisition by a company of its own shares. It represents an alternate and more flexible way (relative to dividends) of returning money to shareholders. When used in coordination with increased corporate leverage, buybacks can increase share prices.In most countries, a corporation can repurchase its own stock by distributing cash to existing shareholders in exchange for a fraction of the company's outstanding equity; that is, cash is exchanged for a reduction in the number of shares outstanding. The company either retires the repurchased shares or keeps them as treasury stock, available for re-issuance. Under U.S. corporate law, there are six primary methods of stock repurchase: open market, private negotiations, repurchase "put" rights, two variants of self-tender repurchase (a fixed price tender offer and a Dutch auction), and accelerate repurchases. More than 95% of the buyback programs worldwide are through an open-market method, whereby the company announces the buyback program and then repurchases shares in the open market (stock exchange). In the late 20th and the early 21st century, there was a sharp rise in the volume of share repurchases in the United States: US$5 billion in 1980 rose to US$349 billion in 2005. Large share repurchases started later in Europe than in the United States, but are nowadays a common practice around the world.U.S. Securities and Exchange Commission (SEC) rule 10b-18 sets requirements for stock repurchase in the United States.

ChatGPT

  1. stock buyback

    A stock buyback, also known as a share repurchase, is a process where a company buys back its own shares from the open market. Companies do this to reduce the number of outstanding shares, thus increasing the ownership stake of the remaining shareholders. It can be a method used to reinvest in the company itself, return money to shareholders, or to protect the company from potential hostile takeovers. The effect is often an increase in share price.

Matched Categories

How to pronounce stock buyback?

How to say stock buyback in sign language?

Numerology

  1. Chaldean Numerology

    The numerical value of stock buyback in Chaldean Numerology is: 9

  2. Pythagorean Numerology

    The numerical value of stock buyback in Pythagorean Numerology is: 7

Examples of stock buyback in a Sentence

  1. Stephen Givens:

    A stock buyback gives shareholders a choice to sell out or stay invested, whereas a dividend forces all shareholders not only to disinvest but to pay tax at higher rates on the cash dividend than they would pay if they sold their stock back to the company.

  2. Tobias Levkovich:

    It's a little bit optimistic to believe that you can define the moves in stocks purely on the basis on stock buyback activity, it's too neat a package to tie up and tie a little bow around of and say 'perfect.' I wish it were that easy.

Translation

Find a translation for the stock buyback definition in other languages:

Select another language:

  • - Select -
  • 简体中文 (Chinese - Simplified)
  • 繁體中文 (Chinese - Traditional)
  • Español (Spanish)
  • Esperanto (Esperanto)
  • 日本語 (Japanese)
  • Português (Portuguese)
  • Deutsch (German)
  • العربية (Arabic)
  • Français (French)
  • Русский (Russian)
  • ಕನ್ನಡ (Kannada)
  • 한국어 (Korean)
  • עברית (Hebrew)
  • Gaeilge (Irish)
  • Українська (Ukrainian)
  • اردو (Urdu)
  • Magyar (Hungarian)
  • मानक हिन्दी (Hindi)
  • Indonesia (Indonesian)
  • Italiano (Italian)
  • தமிழ் (Tamil)
  • Türkçe (Turkish)
  • తెలుగు (Telugu)
  • ภาษาไทย (Thai)
  • Tiếng Việt (Vietnamese)
  • Čeština (Czech)
  • Polski (Polish)
  • Bahasa Indonesia (Indonesian)
  • Românește (Romanian)
  • Nederlands (Dutch)
  • Ελληνικά (Greek)
  • Latinum (Latin)
  • Svenska (Swedish)
  • Dansk (Danish)
  • Suomi (Finnish)
  • فارسی (Persian)
  • ייִדיש (Yiddish)
  • հայերեն (Armenian)
  • Norsk (Norwegian)
  • English (English)

Word of the Day

Would you like us to send you a FREE new word definition delivered to your inbox daily?

Please enter your email address:


Citation

Use the citation below to add this definition to your bibliography:

Style:MLAChicagoAPA

"stock buyback." Definitions.net. STANDS4 LLC, 2024. Web. 26 Apr. 2024. <https://www.definitions.net/definition/stock+buyback>.

Discuss these stock buyback definitions with the community:

0 Comments

    Are we missing a good definition for stock buyback? Don't keep it to yourself...

    Image or illustration of

    stock buyback

    Credit »

    Free, no signup required:

    Add to Chrome

    Get instant definitions for any word that hits you anywhere on the web!

    Free, no signup required:

    Add to Firefox

    Get instant definitions for any word that hits you anywhere on the web!

    Browse Definitions.net

    Quiz

    Are you a words master?

    »
    be contingent upon (something that is elided)
    A depend
    B deny
    C demolish
    D acclaim

    Nearby & related entries:

    Alternative searches for stock buyback: