Both are ways to return money to the shareholders with the balance shifting from giving more flexibility to the shareholders vs more flexibility to the company. Of course the chunks are substantially larger when it comes to buying back individual shares vs paying out a (still relatively small) dividend so there will likely be a balance struck between the two.
By announcing a share repurchase they are also signalling they believe that the shares are undervalued but the strength of that signal is strongly dependent on the amount of money they commit to buying back stock, in this case about 1/7th of their total cap.
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Both are ways to return money to the shareholders with the balance shifting from giving more flexibility to the shareholders vs more flexibility to the company. Of course the chunks are substantially larger when it comes to buying back individual shares vs paying out a (still relatively small) dividend so there will likely be a balance struck between the two.
By announcing a share repurchase they are also signalling they believe that the shares are undervalued but the strength of that signal is strongly dependent on the amount of money they commit to buying back stock, in this case about 1/7th of their total cap.