Influences stock buyback programs

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Companies that are smart and conservative about their buybacks are not just creating value by maximizing float reduction, but they are also signaling to investors that they are likely well managed in other ways, and that their stocks can be bought by long-term investors (Kramer-Miller, 2014.) Kramer-Miller recommends finding companies that double down in a bear market. A bear market is a declining market. Economy tends to be weak, unemployment increases and consumers spend less, which results in lower business profits. This devalues a given company's stock and investors tend to sell their stocks before the value decreases too much (Barrymore, n.d.). How do you think this influences stock buyback programs? 

Reference no: EM13244779

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