Pick a public company of your choosing that has been buying back its own shares
ID: 2771833 • Letter: P
Question
Pick a public company of your choosing that has been buying back its own shares in at least three of the past five years. Who is the company and how many shares did they repurchase in each of those years? How much was the overall repurchase amount each year the firm repurchased its own shares? What rationale did the company give for repurchasing the shares? List the stock price each year over the five years. Do you believe the stock repurchases helped the stock price and why? Please write at least 300 words.
Explanation / Answer
A public company that has been buying back its own shares in atleast three of the past five years is 'Shell Inc.' and it has bought back 12 million, 3 million and 3 million shares in the years 2013, 2012 and 2011 respectively.
Stock repurchases helped the stock price raise as the number of shares decreased which also helped to increase the earnings per share as well as market price per share.