Like everybody I like to see insider buys. But without a big cash flow to pay the bill, I don't see the advantage of a buyback. Put scarce company money into the real market, not the financial market. I think we used to have almost 3x as much cash as we do now. That makes the present level qualify as scarce.
I own something called Tucows (tcx). For years we've been on a buyback. Down to close to 10M shares. Healthy pps. But it's all because the firm is almost the Fed; it seems to create cash out of nothing. (There's a little hyperbole here.)
Indeed Greenwald uses his own money. It's a symbolic act without having to deplete the company's coffers. Greenwald will get it all back in spades if the company share price pops.
If WSTL were a cash cow, a buyback would be a good way to reward long term investors. Without a big cash flow it's like bailing out Greece. We have support around $1.00, and that's all we need. If we lose that, everything needs to be re-thought. Otherwise, cash is for product and sales. Our only hope is in how the company executes and the climate it executes in. Eventually the real world is likely to determine things.
You want volume. Today you got 28k shares on $28k. What more to ask? Tomorrow only (Friday 6/12/15) at Safeway, buy 2 shares, get 3 free. I don't understand why people are complaining.
Rather more seriously, WSTL trades like the fix is on.
The only potential that gets actualized is the nearly million dollars that the brothers take home each year. The majority of the SEC filings are for sale of unregistered stock. The boys just keep selling stock and paying the proceeds to themselves. There's never any sales revenue.
In this case I think that management would raise the money to buy the stock they don't own. They've already raised the votes if the rumor is out.
Better than anticipated. The test will be if the stronger early quarter orders hold up. We still have $37M in cash, but the pile is dwindling.
What I can't understand is this. If a minor league ballplayer plays well, he gets to the big leagues with a big raise. If he does well in the majors, he does very well indeed. If he doesn't do very well in the minors, he doesn't make out ever. In its present state Westell is a minor league team. Like with so many minor league teams in publicly traded companies, the pitchers (executives) make out no matter whether they play well or not. Are we so short of executives that we have to pay them far beyond their worth? Doesn't sound like a competitive market to me.