Always keep an eye on stock buybacks.

Most of them increase shareholder value by reducing the total number of outstanding shares, which then increases the value of a stock.  Essentially, it’s a company’s way of reinvesting in itself and rewarding shareholders.

Look at General Motors (GM), for example.

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The company just raised its quarterly dividend by 25% to 15 cents a share, and initiated a new $6 billion share buyback program. About $2 billion of that is expected by the second quarter.

Since 2023, the company has now announced $16 billion in stock buyback programs, which resulted in buying back more than a billion outstanding shares.

“We feel confident in our business plan, our balance sheet remains strong, and we will be agile if we need to respond to changes in public policy,” CFO Paul Jacobson said, as quoted by CNBC. “The repurchase authorization our board approved continues a commitment to our capital allocation policy.”