Depends: (1) Company is taking opportunity to buy own shares at a cheap price and gain higher % of ownership (meaning gain back control of company). Only companies with enough cash can do this (which could mean company is financially strong). (2) Company may try to stop price from falling further to prevent market perception that the company is doing worse (cause the public always think that a lower stock price means company is not doing well, but this is not always the case). It all depends on how you see it.