Stocking, I'll state my understanding of share buybacks based on...

Stocking, I'll state my understanding of share buybacks based on experience with other stocks. Not sure these points are completely accurate, but they are my observations from a few stocks with buybacks over the past couple of years.

The buyback price limit is stated as the multi-day moving average as per ASX rules. That value is known at the beginning of the day using the previous week of WASPs. The price limit is stated in the buyback notice the following day. So, if the limit was 93 cents on 27 Aug (which it was), then I presume DNA couldn't buy any shares at times during the day when the market price moved above 93 cents.

Incidentally, I assume DNA's inaugural buyback notice has an error stating the highest and lowest price paid (got them reversed).

Contrary to the expectations of some posters, I don't think a buyback is designed to directly "push up" the share price (although that can happen to some extent). Instead, it's purpose is to buy up shares cheaply so remaining shares have more underlying value. This increasing value per share (lower P/E ratio, etc) eventually raises the sp through fundamentals. The buyback also has the benefit of limiting downside movement (but only somewhat) and (although never stated) deterring shorters by limiting their success at pushing down prices (i.e. most of us steer clear of falling knives created by shorters whereas the buyback partially or fully absorbs the selling onslaught).

One interesting question is at what point DNA will slow down or stop its buyback. My guess is that the stop (or resting) point may be around $1.30, which is what instos paid in the latest cap raising. This price point would give instos greater comfort in their earlier buying decision so DNA is "validated" as an investment.