• Reddit_User-256@alien.topB
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    11 months ago

    GM also announced $10 billion in share buybacks and a 33% dividend increase to boost its sagging share price.

    But yeah, fuck those workers, they are the problem. Damn unions ruining everything! Meanwhile the executives and shareholders are laughing all the way to the bank.

    • Heidenreich12@alien.topB
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      11 months ago

      They also both complain that EV’s are working for them, and then do a share buy back instead of sticking that 10 billion dollars into building better EV’s. These giants are going to head for bankruptcy in the end because they are too busy appeasing shareholders and not innovating and becoming leaders.

    • guy-anderson@alien.topB
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      11 months ago

      Their buyback plan was actually kicked off in 2022. They temporarily paused it during the strike and resumed it. There are lots of legitimate reasons they would want to buy back shares - if they are using shares as payment for debt it keeps their interest rate lower.

      Regardless, even with the buybacks, their share price is still lower than when the strikes began.

      shareholders are laughing all the way to the bank

      I shouldn’t have to be the one to tell you this, but the benefits unions fight for, like pensions and health plans, are largely stored on asset markets. Unions are not fighting to destroy the stock market.

      • Recoil42@alien.topB
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        11 months ago

        Regardless, even with the buybacks, their share price is still lower than when the strikes began.

        This is key — GM would want to do a buyback if they think the stock is undervalued, which if they have a plan to deal with the additional costs, it is.

        • posam@alien.topB
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          11 months ago

          Considering they have a PE of 4, it very well probably is. The program is a single year of net income.