Buy Back

Submitted by Sharemarket News on 18 April, 2011 - 18:14

A buy back (also buyback) is buying what had previously been sold or given away. It is offsetting purchase to liquidate a short sale. You initiate a buyback by making offers to investors or making transactions on the open market over a period of time. When a buyback is done, the share of stock owned by a company is increased as well as the earnings per share, and thus market value.

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