Companies repurchase their own stock:

Question

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Companies may repurchase their own stock occasionally as a substitute for a dividend to distribute earnings to shareholders. They may also do it to take advantage of a temporarily depressed stock price, as buying back shares when the price is low can increase the value when the price eventually rises. Repurchasing shares can also be a way for a company to restructure its capital, by reducing the number of outstanding shares and increasing the value per share. Overall, companies may engage in stock repurchases for a variety of reasons, and often a combination of factors will influence their decision to do so.

Companies Repurchase Their Own Stock