The following video is part of our nationally syndicated Motley Fool Money radio show, with host Chris Hill talking with Ron Gross, Andy Cross, and James Early. Earlier this week, Apple announced that it will begin paying a quarterly dividend and buying back shares. In this segment, the guys analyze the dividend payout and share why they're not crazy about the buyback plan. While many companies make a mistake with share buybacks, James shares a few companies that have demonstrated they know how to spend wisely when buying back their own stock.

Chris Hill owns no shares of any of the companies mentioned. The Motley Fool owns shares of Apple, Berkshire Hathaway, and Chipotle Mexican Grill. Motley Fool newsletter services have recommended buying shares of Berkshire Hathaway, Procter & Gamble, Apple, ExxonMobil, and Chipotle Mexican Grill, creating a bull call spread position in Apple, and creating a bear put spread position in Chipotle Mexican Grill. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. Try any of our Foolish newsletter services free for 30 days.