Analysts say that increasing corporate debt is often tied to share buybacks, which in turn relates to the sale of stock by executives.
Share buybacks have earned themselves an unenviable reputation in recent years. And now they—and the executives who use them—are under attack again.
Analysts this week unveiled a new scoring system—the bluntly named Executive Action for Self-Enrichment scale—which they claim shows whether corporate decision-making is associated with “short-term enrichment of executives or long-term business goals”.
The process uses a factor regression model to score companies on a scale of 0 to 100, zero being short-termist and 100 being long term.
The analysts, Bryan Williams and Chris Graham of Novatero Investments, a shareholder adviso
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