https://wccftech.com/warren-buffet-cant-find-value-in-the-stock-market/

Today Warren Buffett’s investment company Berkshire Hathaway (NYSE:BRK.A) bought back $927.6 million worth of its own stock. This is the first time since 2012 that they have bought their own shares back when they purchased $1.3 billion of their own stock.

When a company buys back their own stock, there is no change in the company balance sheet, the total number of shares fall exactly in proportion to the amount of value each share increases, it is essentially a zero-sum move. The immediate result though is a higher average price per share, and shareholders get to see their value rise immediately if there is no movement speculation from investors. Stock buybacks are used much like a dividend to return value to individual shareholders without having to offer anything productive or innovative. The issue is that it signals to the market that Berkshire Hathaway has no better investment opportunities available that would increase their value.