What are you doing with my money?

Implications: One of the critical issues you need to be clear on with stock buybacks is why is it happening.  The article suggests an attempt to increase EPS.  Maybe.  My first question would be what alternative uses for my money (shareholder talking) do you have? If you're not making me money near term, give me my money back (repurchase shares).


Analysis: An investment is only as good as the risk adjusted return it generates.  Slight of hand with respect to EPS is nice but largely irrelevant.  The idea of maximizing return on invested capital is the thing and if a company is carrying excess assets (read financial assets on which it has no comparative advantage in investing passively and no near term internal investing on the horizon that would consume available investable assets) there's little point in retaining those funds.