Buyback stocks refer to companies aggressively repurchasing their own shares when they are undervalued. This strategy efficiently allocates capital to buy out external shareholders at discounted prices. Remaining investors win big through accelerated earnings per share growth. As investing legend Charlie Munger wisely advised, “Pay attention to the cannibals.” He was referring to cash- rich firms with share prices trading below intrinsic value. By concentrating ownership amongst fewer outstanding shares, bu ...