Wednesday, October 27, 2010

IBM Adds $10 Billion to Its Share-Repurchase Plan - BusinessWeek

Hmm…

Since taking over as chief executive officer in 2002, Sam Palmisano has spent more than $68 billion on buybacks, about 38 percent of IBM’s current market value. The company has said it plans to spend about $50 billion on buybacks in the next five years, compared with about $20 billion on acquisitions, as it aims to almost double operating earnings per share.

“It’s crucial to their long-term EPS objectives,” said Brian Marshall, an analyst at Gleacher & Co. in San Francisco, who rates the shares “neutral” and doesn’t own them. “They realize the fact that they are a big, mature tech company.”

IBM Adds $10 Billion to Its Share-Repurchase Plan - BusinessWeek

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