News Summary: Companies increase stock buybacks

Associated Press Published: September 20, 2012
Advertisement
;

BOSTON (AP) — BUYBACKS GROW: America's biggest corporations spent more to buy back their stock in the second quarter. Share repurchases by companies in the Standard & Poor's 500 index totaled nearly $112 billion, up about one-third from the first quarter.

CASH AT WORK: Repurchases can be attractive options for companies to put their cash reserves to work. Companies' cash holdings have risen steadily since the financial crisis.

REWARD FOR INVESTORS: By repurchasing stock, companies reward investors by increasing the value of remaining shares. Per-share earnings can also get a lift as results are divided among fewer shares.



Trending Now


AROUND THE WEB

  1. 1
    Did Pope Francis really tell a 90-year-old atheist journalist that 1 in 50 priests are pedophiles?
  2. 2
    Facebook and Twitter won the World Cup Final
  3. 3
    Dead body falls out of coroner's van along busy road
  4. 4
    Tracy Morgan: Recovering in style -- first pic since NJ turnpike crash
  5. 5
    Ex-captive Sgt. Bowe Bergdahl could return to active duty Monday
+ show more