Ripple Buys Back Even More
TL;DR Ripple has announced an unexpected tender offer, for a further 2.5% of the company at $250/share; It looks like they’re increasing the frequency of buybacks from 2x/year to 4x/year, as well as increasing the price; This lifts the buyback-DCF valuation of Ripple’s common stock significantly, from $79 to $160/share. Cash on the barrelhead A few weeks ago, I took a stab at valuing Ripple’s stock after the resolution of the SEC v Ripple suit, and I argued that Ripple’s twice-yearly buybacks implied a ~$79 valuation floor for the stock, compared to $120 where it was trading at the time.