Qualcomm to Buys Back $5 Billion of Own Shares
Published on: 12th Sep 2013
By: Ian Mansfield
Qualcomm has announced plans to buy back US$5 billion of its own shares from the open stock market. This replaces the prior $5 billion stock repurchase program announced on March 5 2013 at which time the company also announced a 40 percent increase in the quarterly cash dividend.
Since July 24, 2013, the company repurchased approximately 40.1 million shares of common stock for approximately $2.7 billion.
At the end of July, the company had 1.7 billion shares traded on the open stock market, giving the company a market capitalisation of US$118 billion.
"In recognition of our strong financial position and business model, we are pleased to have recently completed significant stock repurchases and to introduce a new $5.0 billion stock repurchase program," said Dr. Paul E. Jacobs, chairman and CEO of Qualcomm. "Since these programs began in 2003, we have returned over $25 billion to stockholders through a combination of stock repurchases and cash dividends. We intend to further discuss capital allocation at our upcoming Analyst Day in November."
The new stock repurchase program has no expiration date. The timing of stock repurchases and the number of shares of common stock to be repurchased will depend upon prevailing market conditions and other factors. Repurchases under this program will be made using the Company's cash resources.