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Buybacks, Buffett, And Cloud Peak Energy

From 2006-2008 Valero Energy (NYSE:VLO) unleashed a massive stock buyback program that would use almost $9 billion to purchase over 20% of its outstanding shares ($61.70 average price per share). Fast forward to the depths of the financial crisis in 2009, and the same management that was so aggressively buying their shares for $60 sold shares back to the market at $18 in order to raise cash. From 2009 to 2012 at the cyclical low, the stock languished at around $20 per share, yet management bought back few shares until 2013-2014 where fresh new repurchases were made at $40-$50 per…