TOGL - Looking For Quality Stocks With High-Conviction Buybacks
When a company repurchases stock, it is basically allocating shareholder capital to a very specific investment: its own shares. If done right - and this is not always the case - buybacks can create a lot of value for investors.
The following paragraphs will present a quantitative screener focused on stocks making high-conviction buybacks, meaning companies that repurchased more than 5% of the shares outstanding in the past year. Academic research shows that high-conviction buybacks tend to produce attractive returns for shareholders, and the backtested performance data confirms this thesis.
The main idea is obviously