buyback programs

A buyback program occurs when a company repurchases its own shares from the stock market. This reduces the total number of shares outstanding, which can increase the value of each remaining share and signal confidence in the company's prospects. Buybacks can boost earnings per share, potentially making the stock more attractive to investors. Companies undertake buybacks using their cash reserves, and they may do so to improve financial metrics, return value to shareholders, or optimize capital structure. Overall, buybacks are a way for a company to invest in itself with the goal of benefiting shareholders.