- Entry
- $237.25
- Now
- $218.90 -7.7%
- Target
- —
- Score
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A cannibal is a company retiring its own shares aggressively - but not the fake kind where buybacks just offset employee SBC dilution. NET buybacks. The kind where the share count actually shrinks. The math is interesting: if true FCF is growing while shares shrink, the yield available to you as a shareholder is compounding twice. And here's the psychological twist — if the stock drops during the buyback, that's actually good news. Lower price means more shares retired per …
— ORIGINAL POST ·
I sold DaVita in February because dividends felt more real than buybacks. It returned 70% while I watched. Here's what I learned about corporate cannibals.
· r/ValueInvesting
· Jun 16, 2026