As shares climbed toward $20 last year and then continued chugging forward, the pressure for CEO Richard Parsons to keep gobbling up shares was lightening with each dollar rise. Now Icahn is out, for all practical purposes, and the only shareholders that can really be raising issues are shareholders who have been in the stock for a long time.
The day of the UBS "BUY" rating, TWX traded 42.8 million shares and only closed up a whopping $0.04 to $19.48. Yesterday the stock closed up $0.16 at $19.64 on only 21.1 million shares. But today, TWX closed up more than 3% on almost 32 million shares and is now at $20.25 The Motley Fool also dispels these AOL spin-off or sale rumors.
There isn't any massive stock-options activity in the stock, so someone must think the buybacks have resumed. After a 15% pullback and after a slowing of repurchases, it is not unusual for corporations to get more aggressive if they believe in their shares.
Jon Ogg is a partner of 24/7 Wall St., LLC; he does not own securities in the companies he covers.
Jon Ogg is a partner of 24/7 Wall St., LLC; he does not own securities in the companies he covers.
Closing Bell: Dubai sends jitters throughout the market (S, BBY)
Heinz looking good after the second quarter?
Why isn't Bank of America updating its shareholders on CEO situation?
