by Chris Black
Stock buybacks (https://www.forbes.com/advisor/investing/stock-buyback/) are a way for companies to return money to shareholders and increase their value by re-aquiring (buying back) the company’s equity from the market.
Buybacks therefore reduce the shares outstanding (the public “supply” of equity), making them more valuable.
Once a company does a buyback, those purchased shares are either canceled — thereby permanently reducing the number of shares outstanding — or held by the company as treasury shares (https://www.nasdaq.com/glossary/t/treasury-shares) which will not return to the market as shares outstanding.
Reason #9 to be tactically bullish into end-year.