2/17/2023 0 Comments Skype stock option buybackIf they want fewer shares outstanding, why not recommend a 1:2 consolidation? Or is it just that X Management thinks that if MFST buys back stock, that very act will cause the shares to go up? In other words, perhaps they think that if only there were a large-scale buyer of the shares, the current shareholders would get a better return in the short term. To start with, X Investment Management is confusing ‘adding value’ with ‘buying back stock’ as if the act of buying stock back adds anything to the value of the company. This is not sound capital markets policy. In the analytical framework of my company, this comes down as being a short term, highly self-serving recommendation triggered by the desire to hype the MSFT stock in the short term, presumably so that they can get out with some nice quick profits. This was the company that suggested that Microsoft buy back a massive amount of stock and borrow some $40 billion to do so. Whitney Tilson to the Seeking Alpha website. I have to respond to the letter from the hedge fund – only identified as X Management – which was forwarded by Mr. To the Ladies and Gentlemen of the Board: Lead Director, Microsoft Board of Directors In our letter to Microsoft, we at Strategic Analysis Corporation say nay. Whitney Tilson published a rather interesting article on the suggestions of X Management for Microsoft ( NASDAQ: MSFT).
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