03-21-2016, 12:31 PM
I agree with you Kerim, imagine Google for example, if they go down the dividends lane, they will be expected to keep paying those dividends, and increasing them every year, from now, until the end of times. It's a really long term commitment.
Now a buyback? It can be stopped anytime. Increased or decreased, no questions asked, there are no expectations from the street or the shareholders (apart from growing EPS).
The real question is the timing. Is now the right time to do it?
Now a buyback? It can be stopped anytime. Increased or decreased, no questions asked, there are no expectations from the street or the shareholders (apart from growing EPS).
The real question is the timing. Is now the right time to do it?