By Megan Henney Published May 15, 2019 Alexandria Ocasio-Cortez FOXBusiness Facebook Twitter Comments Print video Should stock buybacks be illegal? Morgan Creek Capital Management CEO Mark Yusko questions whether stock buybacks should be legal and where investors can find opportunities in the stock market. Rep. Alexandria Ocasio-Cortez targeted the use of stock buybacks by large public corporations during a congressional hearing on Wednesday, deriding the practice as a way for CEOs to overinflate their compensation at the expense of serving customers. Continue Reading Below During a House Financial Services Committee hearing, Ocasio-Cortez questioned the practice of corporations buying back their own stock from investors, noting that stock price is commonly tied to executive pay. Because of that, she argued, CEOs are incentivized to make sure the stock price is as “sky-high as possible”, even at the sake of the consumer or … [Read more...] about AOC rips corporate stock buybacks, compares to a pyramid scheme
You’d be forgiven for thinking that Bernie Sanders and Marco Rubio will never really see eye to eye on a political issue. But the two senators, who both ran for president on opposite sides of the aisle in 2016, have found common ground, strangely, in the idea that corporate stock buybacks–when a company pays a shareholder cash for their shares–are a bad thing. For the past several decades, the goals of American businesses has become benefitting shareholders. Given that just 10% of the wealthiest Americans own 84% of all corporate stocks, this “shareholder primacy” model tends to benefit those who already have means. On February 3, Sanders and Senator Chuck Schumer published a call for limits and regulation around buybacks, and Rubio added his support this week. This groundswell of bipartisan opposition comes as something of a surprise to Lenore Palladino, senior economist at the progressive economics think tank The Roosevelt Institute, though not an … [Read more...] about Is it time to end corporate stock buybacks?
In this Feb. 5, 2019, file photo specialist Anthony Rinaldi, left, and trader Michael Conlon work on the floor of the New York Stock Exchange. (AP Photo/Richard Drew, File) Stocks finished broadly higher Wednesday as investors remained optimistic that the U.S. and China will make more progress in resolving their costly trade dispute. Energy companies, retailers and industrial stocks accounted for much of the gains. The S&P 500 index gained 8.30 points, or 0.3 percent, to 2,753.03. The Dow Jones industrial average climbed 117.51 points, or 0.5 percent, to 25,543.27. The Nasdaq composite added 5.76 points, or 0.1 percent, to 7,420.38. The Russell 2000 index of smaller-company stocks, which has been leading the other indexes this year, added 4.71 points, or 0.3 percent, to 1,542.94. Key officials from the world's two largest economies will meet today and Friday to try to stave off an escalation of a trade conflict that has hurt companies and consumers by raising prices on a number … [Read more...] about Trade talks again give stocks a lift
Visit The Boston Globe Share on Twitter Share on Facebook Comment on this Scroll to top of page Associated Press February 13, 2019 Stocks finished broadly higher Wednesday as investors remained optimistic the United States and China will make more progress in resolving their costly trade dispute.Energy, retail, and industrial stocks accounted for much of the broad gains as the market extended its winning streak to a fourth day.Key officials from the world’s two largest economies will meet Thursday and Friday to try and stave off an escalation of a trade conflict that has hurt companies and consumers by raising prices on a number of products. President Trump has said he might let a March 2 deadline slide if a deal is close. Advertisement After March 2, additional tariffs are scheduled to kick in. Economists and analysts are optimistic that both sides will eventually hammer out an agreement that satisfies US complaints that China steals technology or … [Read more...] about Optimism over US-China trade talks boosts stocks again
Sections SEARCH Skip to content Skip to site index Subscribe Log In Log In Today’s Paper DealBook | DealBook Briefing: Tech No Longer Carries the Stock Market DealBook Supported by Feb. 4, 2019 Good Monday morning. (Was this email forwarded to you? Sign up here .) A ‘chip dip’ threatens Big Tech’s clout From Apple to Nvidia, tech companies say that business is slowing. What’s happening? Big tech companies are reporting lackluster results. Weak Chinese consumer demand blew a $9 billion hole in Apple’s latest quarterly sales. Nvidia warned last month that its revenue would come in 20 percent below expectations. Intel’s January financials didn’t meet forecasts. And Samsung’s sales plunged 10 percent in the fourth quarter. Behind the trend: semiconductors. “China, smartphones, Bitcoin and cloud computing have been among the major drivers of the long tech … [Read more...] about DealBook Briefing: Tech No Longer Carries the Stock Market