The Stocks with the Most Buybacks in the Last Week

Stocks with the Most Share Buybacks in the Last Week

Borsa Istanbul drew attention with some companies' share buyback transactions between September 29 and October 3. These transactions were carried out to support healthy price formation in the markets. Notable companies that conducted buybacks included Ahlatcı Doğalgaz (AHGAZ), Gübre Fabrikaları (GUBRF), Mavi Giyim (MAVI), Enerya Enerji (ENERY), Mercan Kimya (MERCN), Net Holding (NTHOL), PC İletişim Medya (PCILT), Orge Enerji (ORGE), Akfen GYO (AKFGY), and Akfen Renewable Energy (AKFYE).

Why Are Share Buybacks Done?

The share buyback process is a strategy aimed at increasing the value of the company's shares. Market fluctuations, negative investor sentiments about companies, and other factors can lead to a decline in the value of company shares. In such cases, companies aim to protect the value of their existing shares by conducting buybacks. Reasons for share buybacks include:

• Providing cash support to shareholders
• Reducing excessive fluctuations in share prices
• Preventing control of shares from passing to competitors
• Utilizing idle cash in the company
• Restoring confidence in the company's shares

Impact of Share Buybacks on the Company

The effect of share buybacks on the company's EPS (earnings per share) is noteworthy. Earnings per share indicate the financial strength and performance of a company, thus playing a crucial role in investors' preferences. EPS, obtained by dividing total profit by the number of shares outstanding, provides important information about the company's valuation.

Buyback Process

The processes related to share buybacks are conducted within the framework of regulations set by the Capital Markets Board. For buyback transactions to be carried out, the shares must be traded on the stock exchange. Additionally, it is stated in the legislation that the buyback will be carried out by the board of directors authorized for a certain period.

It should be noted that the information provided here does not constitute investment advice.