James Altucher: More Buybacks And Dividends Means Stocks Can DOUBLE From Here

roubini nouriel altucher

Photo: CNBC

James Altucher is on CNBC reiterating his bull case on stocks, arguing that there’s potential for a double from here.Why?

Companies have tons of cash. They’re using it on dividends and buybacks, and if bond and gold investors reallocate some of their cash back to stocks, there will be a huge boost of equities.

Meanwhile, the latest news from Microsoft would seem to confirm his thesis. The company is upping its dividend — helped by an uber-cheap cost of capital — essentially structuring itself like the more shareholder-friendly utility it deserves to me.

Contrary to his argument, see David Rosenberg’s 7 rules for investing in deflation >

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