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No. of Recommendations: 17
I understand Jim’s point wrt buybacks, however retirement of 3-4% of shares annually over time seems like it would become meaningful to earnings per share and market value.

Buffett seems to like such buybacks over extended periods for the stocks he buys. Long term, your ownership increases.

But let's be honest. The short term impact on shareholders is that Buffett demonstrates by actions that he believes the stock is undervalued - which provides a modest bump to it being less undervalued.

It's about the only way he sends such a signal to the marketplace. Otherwise, he avoids such as much as possible. And has specifically stated that he would never do so to support the price of the stock. As he has demonstrated in downturns by lack of action.

So he does so only when the lack of other opportunities and the pressure of excess cash makes it acceptable in his eyes.

And the market reads it as such - to the benefit of those in the dispersal phase of ownership.

Being such, I hope it continues.
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