Share Buybacks Are Down

Interesting facts via James Saft:

U.S. company stock buybacks are down 21 percent in the first seven months of 2016 compared to the same period a year earlier, according to TrimTabs Investment Research, a fall driven in part by five consecutive quarters of year-over-year earnings declines among S&P 500 stocks.


Over the first six months of the year S&P 500 companies paid out 112 percent of their earnings in the form of either dividends or share buybacks.


Companies have issued debt in such size that net debt compared to a standard measure of earnings is now at an all-time high for non-financial companies in the S&P 500, according to data from FactSet, having almost doubled in about five years.

Posted by on August 31st, 2016 at 10:27 am

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