• Share buybacks can add value for investors but can’t ‘rescue bad companies’

    Share buybacks can add value for investors but can’t ‘rescue bad companies’
    Share buybacks can lift returns or be a potential red flag, but finance experts say investors should look at the overall picture of how companies allocate their capital to determine for themselves.When companies buy back their own stock, they often cancel those securities, reducing the number of outstanding shares available for trading in the market. That spreads profits over fewer shares, which can boost earnings per share metrics come earnings season and potentially lift the company’s stock