Buffet stated on buybacks "Blindly buying an overpriced stock is value-destructive, a fact lost on many promotional or ever-optimistic CEOs"

Objectives last years earnings were flat and they are only forecasting 15% growth. Currently on a PE of 48, would this statement apply to Objective I wonder. I wouldn't call them promotional, but can't help thinking that there is a good chance they are trying to support their share price, especially when taking into account Gary Fisher has sold over $40m worth of shares over the last two years.

They may be hoping that the market will re-rate them now that they have decided to capitalise 45-55% of R&D, but even using this model, they are still trading on a PE of 32. R&D is an ongoing expense to their business and I personally have a problem with the way software companies capitalise R&D. Charlie Munger once said EBITDA earnings are bullshit earnings.

I would have thought their money could be better used for M&A, since they have detailed that this is part of their ongoing strategy.