Wednesday, November 18, 2015

Without Buybacks, There Is No Earnings Per Share Growth ......ANOTHER PESKY FACT!

Without Buybacks, There Is No Earnings Per Share Growth

Stock buybacks are the only thing keeping big companies earnings afloat.

According to a chart from Deutsche Bank, as sales and profit growth have retreated, companies' consistent purchases of their own shares have prevented earnings per share (EPS) growth from going negative.

This has masked 
an earnings recession. 

The buybacks have helped keep reported earnings per share from looking as dismal as they really are.


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