A stock buyback, also known as a share repurchase, is a corporate action in which a company buys back its own outstanding shares of stock from the public or existing shareholders. This means the company purchases a portion of its own shares on the open market, directly from shareholders, or through a tender offer at a specified price. These repurchased shares are typically retired and no longer available for trading on the open market.

In this episode, host Greg Arthur and Rich Dad Wealth Expert Andy Tanner discuss stock buybacks, what they mean to the average investor, and how they might indicate a strong investment.

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