Thread regarding Truist Bank layoffs

Food for Thought

Per Forbes-

"Companies that engage in buybacks often do so for reasons that do not align with maximizing shareholder value. These reasons can include pressure to hit short-term earnings targets, executive compensation plans that incentivize the wrong metrics, or the desire to reduce the total number of shares outstanding. These factors can lead to buybacks at peak valuations and selling at the market crash, which can be detrimental to the company's long-term value."

"executive compensation plans that incentivize the wrong metrics" stands out considering the current state of things.

Any thoughts?

by Anonymous
| 26561 views | | 3 replies (last July 30) | Reply
Post ID: @OP+1k1c6vpd3
Comment! It's anonymous!

3 replies (most recent on top)

Driving profit back into shareholder value instead of employee value. That's always the intent. Remember they see employees as an unfortunate expense instead of an asset.

by Anonymous
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Post ID: @d4+1k1c6vpd3

No

by Anonymous
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Post ID: @cq+1k1c6vpd3

I agree that executive compensation plans are misguided. However it is much more expensive over the long run for a company to issue stock to raise money over using debt

by Anonymous
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Post ID: @c2+1k1c6vpd3

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