Apple’s Three Year Stock Buyback Plan Kicks Off Today

441

Apple’s stock buy back plan is set to start this week. The program, approved by Apple’s board back in March, kicks off a three-year, $10 billion stock repurchasing program. The main objective: “neutralizing the impact of dilution from future employee equity grants and employee stock purchase programs.”

According to Fortune journalist Philip Elmer-Dewitt, plenty of analysts were displeased with Apple’s decision:

[quote]No Apple analyst had pushed harder than Sacconaghi for the company to give some of the billions it had accumulated back to the shareholders — by which he meant the institutions that hold roughly 70% of Apple’s shares. He made no secret of the fact that he was disappointed with Apple’s plan. “For a company that prides itself on thinking differently,” he wrote to clients that night, “Apple’s announcement reflects a pretty vanilla return of cash program.”[/quote]

Yesterday marked the beginning of the three-year plan. A lot of shareholders are about to see an infusion of cash  over the next three years. Sadly, I own zero Apple stocks.

Via: TUAW