Apple Inc. has announced a staggering $110 billion share buyback program, marking a significant move for one of the world’s largest companies. This announcement cements Apple’s position as a value stock that prioritizes returning money to shareholders.
The buyback authorization exceeds Apple’s previous record of $100 billion, set in 2018. It also places the company responsible for six of the ten largest share-repurchase announcements ever made in the United States.
Apple’s quarterly results, released after market hours on Thursday, surpassed investor expectations. The company reported better-than-estimated sales and predicted a return to revenue growth in the current period. Additionally, Apple raised its quarterly dividend for the twelfth consecutive year.
These positive results fueled optimism that the company is overcoming the slowdown it has faced. Shares surged by 7.9% in post-market trading, potentially adding over $190 billion to Apple’s market value if the gains hold on Friday.
This announcement provides a welcome reversal for Apple investors, as the technology giant has lagged behind its peers this year. Apple shares have fallen by 10%, while the S&P 500 Index has gained over 6%.
