For buy and hold investors, stock buybacks do nothing, whereas dividends create real taxable income. Either you take the income, minus taxes, and spend it, or you reinvest it into the stock, again minus taxes.
If you reinvest it into the stock, you've had to pay taxes on the dividend amount, so you've lost vs a buyback.
If you want to spend money and your stocks don't issue dividends, you just have to sell some of your shares. Selling $X of shares will almost always generate less taxable income than receiving $X of dividends as some of it will be a return of capital; so again, if you take $X out of the holdings, you've lost with a dividend vs a buyback and you sold $X.
This is disregarding the definition of buy-and-hold investors. As the name implies, they don't sell stock. Whether or not buy-and-hold is irrational or not is a completely different topic.
If you reinvest it into the stock, you've had to pay taxes on the dividend amount, so you've lost vs a buyback.
If you want to spend money and your stocks don't issue dividends, you just have to sell some of your shares. Selling $X of shares will almost always generate less taxable income than receiving $X of dividends as some of it will be a return of capital; so again, if you take $X out of the holdings, you've lost with a dividend vs a buyback and you sold $X.