While Digex is an explosive company with a prized client list and booming revenue growth the same can't be said for the bottom line. But WorldCom is looking beyond the projections. WorldCom is looking into the synergy. That's accretive, in a nutshell. Some companies relish the art of growing the bottom line by paying bottom dollar for quality additions.
Stock buybacks can be accretive to earnings.
Having fewer shares outstanding will help grow earnings per share using the same principles of a cash buyout. It all depends on how cheap the company can buy back the shares on an earnings basis. So, that's it. Accretive is now accretive to your lexicon. The Motley Fool.