So, if Buyback Market Price is $20.52 with a 14% discount…. You will be 0.17c a share WORSE OFF versus simply selling it on market today. Plus you’d have to wait almost a year to get the $2.70 franking credit refund so that you achieve that 17 cent loss.
Remember that CBA achieved a 14% discount in their buyback. So I’m guessing the ####### board thought they could manage that feat as well.
(###### = insert the adjectival phrase of your choice here to best describe their brilliance)
The way the SP is plummeting, they will be better cancelling this ill conceived buyback and announcing a special dividend instead. After all, the only reason they have extra cash for this buyback is because they cancelled dividends last year.
WBC Price at posting:
$20.52 Sentiment: Hold Disclosure: Held
A personalised tool to help users track selected stocks. Delivering real-time notifications on price updates, announcements, and performance stats on each to help make informed investment decisions.
(20min delay)