DQ There is some evidence that firms deliberately manage earnings in advance of a major stock repurchase (buyback).

MGT 325 Finance for Managers

Module 7 Discussion

There is some evidence that firms deliberately manage earnings in advance of a major stock repurchase (buyback). Do you believe that corporate managers tend to manipulate their stock’s value prior to a buyback, or do you believe that corporations tend to initiate a buyback to enhance shareholder value?