GXY galaxy resources limited

Banter and General Comments, page-9978

  1. 796 Posts.
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    Anything that's bad at one price is good at another price. If you think the company's intrinsic value is greater than the sum of the current market valuation, and the return the company would get on investing that money itself, then its a good time for a buyback. If you think the company's intrinsic value is lower than those things, then you think its a bad time for a buyback.

    The more undervalued you think the company is, the more likely you think a buyback is a good idea. So arguing about whether a buyback is a good idea is essentially just arguing about whose valuation is the most accurate; ie. more or less pointless, and ultimately who was right will be revealed only with the passage of time.
 
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