Sentences with phrase «stock buybacks at»

He says this can be OK, provided the company has (1) modest or no net debt, (2) persistent and rising levels of free cash flow, and (3) stock buybacks at a discount to intrinsic value.
The impact of a $ 2M stock buyback at Friday's closing price is to increase per share liquidation value by around 6 % to $ 1.64 and leaves the company with $ 26.3 M in cash and short term investments.

Not exact matches

«On the capital front, we're also in the middle of a (stock) buyback program that's going at an accelerated pace.
With stocks in general still trading so high, investors are best off ignoring the short - term hype around buyback announcements and instead taking a closer look at companies on repurchasing binges to see if their share prices have more room to run.
Companies in the S&P 500 are on track to give investors more than $ 1 trillion in stock buybacks and dividend increases this year, according to Howard Silverblatt, a senior analyst at S&P Dow...
«But if you look at hundreds of examples, you find that stock buybacks do increase long - term value.»
Investors should want companies to reinvest in themselves and their employees versus repurchasing their own stock to increase the share price, said William Lazonick, an economics professor at the University of Massachusetts, Lowell, who studies stock buybacks.
Apple's stock buyback program isn't just bigger than those of other companies, it's also better at doing what investors want share repurchases to do.
At such a cheap valuation, VIAB can use its $ 3 billion in annual free cash flow to buyback stock, retiring shares at a undervalued price, thereby increasing the overall value for remaining shareholderAt such a cheap valuation, VIAB can use its $ 3 billion in annual free cash flow to buyback stock, retiring shares at a undervalued price, thereby increasing the overall value for remaining shareholderat a undervalued price, thereby increasing the overall value for remaining shareholders.
At current prices, the 250 million share buyback authorization would represent $ 13.2 billion and through 3Q15, Wells Fargo has repurchased $ 6.7 billion of common stock, which represents 2.5 % of WFC's market cap.
Despite some investors waxing rhapsodic about things like «mass collaboration and sharing enabled by technology and global communications networks,» S&P 500 Index revenues have grown at a nominal rate of just 3.2 % annually over the past 20 years, and just 1.6 % annually over the past decade, and that includes the benefit of stock buybacks.
The company traditionally makes a dividend increase announcement at this time of year, and some believe that some of the billions in repatriated cash could go back to investors in the form of dividends or stock buybacks.
«I'm amazed at how many CFOs don't truly understand the long - term sustainability and value creation of stock buybacks
«I would hope that with their big advantage of bringing money home at a very low rate that they would invest in infrastructure and things, but our experience has been that they will do dividends, they will do stock buybacks, and things like that,» she said.
«Stock buybacks have been a prime mode of both concentrating income among the richest households and eroding middle - class employment opportunities,» William Lazonick, a professor at the University of Massachusetts Lowell, recently told CNN Money.
As long as companies see their valuations at elevated levels, stock buybacks should not increase.
In recent years, however, we have increasingly seen debt used for stock buybacks and dividends, as the chart below shows, in essence rewarding equity - holders at the (possible) expense of bondholders.
«Although buybacks do not represent an optimal use of cash at the current time, they will be positive for near - term stock performance,» the note said.
I agree that buybacks at a high valuation are likely foolish, but increasing the attractiveness of the stock to those focused on the immediate payback would seem to make acquiring more shares at a good price more difficult.
But the interesting thing is that in the eyes of many investors, Apple's quarterly iPhone sales numbers seem to matter less now than they have for years — at least relative to how much cash Apple is generating and returning to shareholders through dividends and stock buybacks.
Schumer read aloud quotes from CEOs saying they would plow corporate tax cuts into stock buybacks and other such expenditures aimed at increasing the value of shares (and potentially CEO bonuses), with no mention of jobs.
Or, at least, it did until Harry Wilson got his Wall Street cronies to force GM into a $ 5 billion stock buyback.
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The management has wisely bought back shares of the stock at severely depressed levels, and doesn't seem to get too carried away with regular buybacks, preferring to return excess cash to shareholders in the form of special dividends (much preferred to buybacks).
Even with all the buybacks and LBOs, it isn't normal for stocks and bonds to trade in a tight correlated way in the short run, so, take one of your eyes off of bonds, and look at the fundamentals of the companies that you own.
However, the average timing of buybacks have been awful (look at the amount of stock bought back in 2007 and how little was bought back in 2009).
It seems the average manager prefers to goose an already overvalued stock with a buyback at shareholder's cost.
In his book What Works on Wall Street, he looked at the efficacy of using buyback yield, the percentage of shares a company redeemed over the last year, to pick stocks.
All stocks are held in the expectation that they will eventually return money to whoever is holding the shares at the time, by one or more of the following mechanisms: Paying dividends Share buybacks, where the company buys out some of its own shares (in some ways this is quite similar to paying a dividend, but often has different tax implications) A...
If you recommend individual stocks for your clients, or advise them about existing stock holdings, you should take a close look at a company's buyback program.
The simple answer in my opinion is lack of alternatives, especially for long - term investors such as endowment and pension funds, which has created a surge in demand for stocks at the same time that the supply of stocks is dwindling due to the aggressive buyback programs instituted by corporations in recent years.
The companies that actually do buybacks, as opposed to merely announcing them, do very well, and that is intensified for those that buy back stock at high free cash flow yields.
For mature, going concerns, the after - tax operating income and free cash flow to the firm will be positive (at least on average) and that cash flow is used to service debt payments as well as to provide cash flows to equity in the form of dividends and stock buybacks.
[Just look at the amazing run on Autozone (AZO: US)-- yes, they've had great execution, but much of its performance is down to aggressive / sustained stock buybacks].
Looking at listed companies in the US now, following the rise in equity valuations and borrowing for buybacks, it would be hard to characterize the average stock as undervalued, or cash rich.
This presents a real problem, if you don't at least venture to determine an Intrinsic Value for your stock, you have no way of figuring out if a share buyback is at a discount and adding true economic value for your shareholders.
Although the company has indicated it will undertake a $ 5M stock buyback, which will likely push the stock price up further, the stock has reached our estimate of its liquidation value, so the buyback will not increase the per share liquidation value at this level.
Dividend payments are the traditional avenue for income investors, buy stock buybacks have been attracting investors at a higher rate in the last year.
Usually buybacks are done because management is flush with cash, and that unfortunately happens when a company's stock is already greatly «appreciated» on Wall Street, i.e. trading at a significant premium to book.
If the buyback had been completed at the current stock price, the company's per share liquidation value would have increased by around 17 % to $ 6.72.
In 2012, Buffett issued a share buyback of Berkshire Hathaway stock at 116 % of current book value.
From 2005 - 2008, IMN spent nearly $ 190MM to buyback shares when its stock was valued at levels ranging from 0.4 - 1.1 x P / S and 0.8 - 1.6 x P / B or $ 14 - $ 48 per share.
A study of analyst recommendations at the major brokerages shows that Monster Beverage Corp is the # 43 broker analyst pick among those stocks screened by The Online Investor for strong stock buyback activity.
A study of analyst recommendations at the major brokerages shows that General Motors Co is the # 32 broker analyst pick among those stocks screened by The Online Investor for strong stock buyback activity.
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