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jdmulloy t1_ja6h9mh wrote

They also don't want to dilute stock that's used for compensation. It's also an alternative to giving dividends where they don't have to be concerned that investors will expect the same or higher dividends in the future. There's also a tax advantage for some investors in getting returns in appreciation instead of dividends, because unrealized gains aren't taxed, but dividends are. They can avoid taxes via charitable donations and margin loans.

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