A share buyback is something that you do when you run out of legitimate things to do with the cash and genuinely need to return it to shareholders. Even then they are only appropriate when there are no franking credits to provide a tax effective dividend which would otherwise be a better alternative.
SSN has spent years trying to get their hands on this sort of cash in order to explore, acquire, drill etc. There are huge opportunities to buy other undervalued companies and assets in the current environment in addition to tending to current business.
SSNs ship has finally come in. It would be an act of brazen stupidity to return all that cash to shareholders at this point in the company's development. We need SSN management to continue to build our long term wealth not temporarily inflate the share price. Two or three years down the track assets snapped up now on the cheap could be worth many times the bargain prices you can pick them up for today. Surely thats the focus.
SSN Price at posting:
7.0¢ Sentiment: Buy Disclosure: Held
