# Definition

**Thanks to TechTimes, the Buy - Back mechanism can be explained below:**&#x20;

In the equity world, buybacks are hugely popular for large organizations to shoot up their stock prices by buying their own shares. Equity buybacks result in the participation of outstanding shareholders of the organization. Firms buy back shares for many reasons including raising the value of remaining shares, which are available by either taking the supply down or preventing other holders from gaining control.

![](https://551774925-files.gitbook.io/~/files/v0/b/gitbook-legacy-files/o/assets%2F-MlR2lAPu4z4O4jMDQx_%2F-MlR37zxa5u-zGZ3zjZW%2F-MlR3aDovXjVVAu6L88q%2FArtboard%201.png?alt=media\&token=435fbcce-2504-412b-bd07-9943dfe98349)
