Royal Nickel Corp. RNKLF

RE:Selby

[roberto146]

"Once we pass 100m in the bank start buying stock back. That will let the market know we are for real. Ten percent of our cashlow to the buyback would be nice."

Why waste money that could be invested in development of projects? Just do a reverse split at no cost if you want to look at a higher price per share and feel better. Buybacks achieve nothing. In most cases the buybacks have been implemented to mop up optioned shares, looting the treasury at shareholders' expense. There are innumerable examples of companies that have had buyback programs in place for many years, used all the cash flow, and still have share prices lower, and a higher share count, than when the program began.
Many years ago, Michael Brush wrote about this and since then many more financial commentators have joined him in agreement.
It's a huge stupid waste of money. Just one humorous example about 10 years ago is a Canadian mining company that raised 50 million dollars issuing shares - then announced a 50 million dollar buyback program a month later. They had 29 million shares outstanding at the time, currently they have 43 million shares out, have spent 10s of millions of dollars on buybacks, and the shares are less than half the price they were 10 years ago.