Westfield Financial (NASDAQ:WFD) is the holding company of Westfield Bank, first chartered in 1853. Westfield is selling below book value and is buying back its own stock. It has bought back a significant amount, but it is questionable whether the policy has rewarded shareholders. Let us examine Westfield's historical buybacks.
Take a look at the graph below. It can be read: "In the last twelve months, Westfield invested 21% of its current market cap into its own stock."
Notice that the quantity of buybacks has increased as a percentage of market capitalization. The company has been continually increasing its bet on itself. It is a safe bet, but a rather neutral one as we will see....
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