Debt-funded stock buybacks have been on the rise since 2009, with 2018 seeing a record amount of buyback activity. This leads the author of today’s article to make the following point: “If the stock market performed as poorly as it did in 2018 with record amounts of buybacks to prop it up, just imagine how much worse it would be if buybacks were to slow down significantly or grind to a halt?” For his insights on what a bursting of the U.S. corporate debt bubble could mean for stocks, CLICK HERE.
What Happens When The Stock Buyback Party Ends?
- by Bob Mitchell
Tags:Debt-Funded Stock BuybacksFinancial LifeInvestingRecord BuybacksStock BuybacksStock MarketstocksU.S. Corporate Debt Bubble