What are stock buybacks & how do they work

Stock buybacks, also known as share repurchases, happen when a company buys back its own shares from the market. This reduces the number of outstanding shares, often boosting the stock price and earnings per share (EPS). But why do companies do this, and how does it affect investors? In this video, we’ll explain what stock buybacks are, how they work, their pros and cons, and why they’ve become one of the most debated strategies on Wall Street.