
September 13, 2023
Marriage or Dating: Dividends vs. Buybacks for Capital Return
What companies facing pressure from investors to return capital need to consider as they mature and growth slows. The decision to start paying a dividend to return capital to shareholders is one that growing companies don’t take lightly—and for good reason: the consequences of later lowering or eliminating the quarterly payouts is an undeniably bearish signal in the eyes of most investors. That fact informed discussions about dividends and share repurchases among members of NeuGroup for Large-Cap Assistant Treasurers at their first-half…