Stock buyback announcements took a breather last week with only 6 companies announcing buybacks. This is the lowest level of buyback activity we have seen since the start of this year and it might have to do with a combination of a long holiday weekend and the start of a new quarter. With earnings seasons starting later this month, we might also see an uptick in buyback activity.
Three out of the companies announcing buybacks during the last week, Onion Global (OG), First High-School Education Group (FHS) and Adagene (ADAG) happen to be Chinese companies. The company that managed to top the list this week, Adagene (ADAG), happens to be a net-net stock. This means its market cap is less than the company’s current assets minus total liabilities. Tonix Pharmaceuticals (TNXP) is a similar net-net biotech which made a significant buyback announcement on March 31, 2022 and we wrote about it in our Buyback Wednesdays post, on June 1, 2022.