Cumulative S&P 500 Buybacks 2009-2019

Cumulative S&P 500 Buybacks 2009-2019 Are buybacks driving the show? Thanks to tax cuts and low interest rates, corporate stock buybacks are booming. Over the past decade, S&P 500 companies bought back $5 trillion shares, while cumulative flows from households and foreigners are only a drop in the bucket. But what would happend if companies reinvested instead…

S&P 500 Buybacks Index

S&P 500 Buybacks Index The S&P 500 Buyback Index is down on a YoY basis. As a reminder, buybacks are the source of the rally in the stock market since 2009. Image: Crescat Capital LLC

S&P 500 Net Debt vs. Share Buybacks

S&P 500 Net Debt vs. Share Buybacks U.S. companies are ramping up share buybacks. Funding is coming in part from a rise in debt. Image: Societe Generale Cross Asset Research

S&P 500 Earnings and Net Buybacks

S&P 500 Earnings and Net Buybacks Buybacks have been trending lower over the last two quarters. Deutsche Bank expects buybacks to slow to $625bn in 2020. Image: Deutsche Bank Asset Allocation

S&P 500 Share Buybacks

S&P 500 Share Buybacks Chart suggesting that buybacks would still double the long-average in 2020. Image: Societe Generale Cross Asset Research

Buybacks and S&P 500 Use of Cash

Buybacks and S&P 500 Use of Cash Goldman Sachs expects buybacks will fall 5% to $675 billion in 2020. Image: Goldman Sachs Global Investment Research