Dilutaphobia

Investors have an irrational fear of stock dilution

Investors and companies have become obsessed with stock buybacks. Stock repurchases by public companies have tripled in value over the last ten years compared to a 50% increase in dividends. Many investors have become so buyback-obsessed that they're afraid of companies that issue new shares—they have dilutaphobia.

These folks have come to fear and resen…