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What Is an Accelerated Share Repurchase?

By Matthew DiLalloUpdated Jan 1, 2025 at 11:28 AM

Key Points

  • ASRs allow companies to rapidly buy back large stock quantities, typically during undervalued periods.
  • Payment is made upfront in ASRs, and the repurchase is facilitated by investment banks.
  • This strategy can promptly enhance shareholder value by increasing earnings per share.

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