For the stock price, both repurchase and holding increase convey a positive signal, but there are many differences between the two:

1. Repurchase It is to reduce the supply of stocks, and increasing holdings is to increase the bargaining chips for future selling.

2. Repurchase increases earnings per share, reduces the price-to-earnings ratio without falling stock prices, and reduces the level of market bubbles; increasing holdings will not change the financial data of listed companies.

3. Repurchase is a direct return to shareholders, while shareholding increase is an attitude of recognition of the company's stock price by major shareholders or executives, and there is no direct return to other shareholders.

4. Repurchases are more recognized by the market, and the stock price responds directly and quickly; it is difficult to resist the impact of the downward trend when increasing holdings, and it often happens that employees increase their holdings, major shareholders increase their holdings, and executives increase their holdings. The market was trapped, and deeply trapped, severely dampening market confidence.

Extended information:

The repurchased goods are generally sold in the seller's market or used in the production of finished products. The seller is also more concerned and attaches great importance to the quality of the repurchased products. However, since the repurchase of goods cannot be carried out until the imported machinery and equipment are installed and put into production, the transaction period is often longer, sometimes as long as 5-10 years, or even longer.

Share repurchases can curb excessive speculation, help smooth out the ups and downs of the stock market, and promote the standardized and stable operation of the securities market. According to Western classic theory, share repurchases have a positive role in determining a company's reasonable stock price and curbing excessive speculation.

Buy-back, also known as Compensation Trade, means that one party to the transaction, while exporting machinery, equipment or technology to the other party, promises to purchase a certain quantity of the machinery. Products produced by equipment or technology.

This approach is the basic form of product repurchase. Sometimes the two parties can also reach an agreement whereby the exporter of the machine or equipment purchases other products provided by the importing party. The repurchase method is relatively simple and beneficial to the company's cost accounting, so it is widely used.

Whether it is stocks, futures, funds, other securities, commodities, etc. that can be traded on the market, additional purchases on the original basis can be called increasing holdings. That is to say, if you already have a certain position, adding more purchases is to increase your holdings - increase your position.

Reference materials: Baidu Encyclopedia - Repurchase

Baidu Encyclopedia - Increase in holdings