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What does it mean: Bank buys own shares?

is it a good or a bad sign?

2 Answers

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  • Anonymous
    1 decade ago
    Favorite Answer

    a corporation (only) can issues shares to raise money. when it has money already and wants to consolidate ownership the corporation may purchase its own shares on the open market like anyone else. now the corp owns its self. the stock is now called "treasury stock"

    Source(s): FASB
  • 1 decade ago

    It is a good sign that management has faith in their business and they are willing to invest money in their stocks.

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