Sep 19, 2019

Microsoft eyes all-time high after $40B buyback announcement

Dion Rabouin, author of Markets
Expand chart
Data:; Chart: Axios Visuals

Microsoft plans to buy back as much as $40 billion in stock and raise its dividend to 51 cents a share, the company said Wednesday. It's the third time Microsoft has authorized a package that large, following $40 billion buybacks in 2013 and in 2016.

The big picture: S&P 500 companies are again picking up the pace of buybacks after a major lull in the second quarter, with tech companies leading the way.

  • Cumulative year-to-date buybacks are now up 18% year over year, according to data from Bank of America Merrill Lynch.
  • The rate of buybacks in Q2 was around 14% lower than the same quarter in 2018, and experts had been expecting the pace to continue to slow through the year.

Microsoft stock rose 1% in after-hours trading following the announcement, edging back towards its all-time high of $141.68.

Go deeper

Updated 11 mins ago - Politics & Policy

Trump threatens to "assume control" of Minneapolis over unrest

Flames from a nearby fire illuminate protesters standing on a barricade in front of the Third Police Precinct in Minneapolis on Thursday. Photo: Kerem Yucel/AFP via Getty Images

President Trump threatened via Twitter early Friday to send the national guard to Minneapolis following three days of massive demonstrations and unrest in the city over George Floyd, a black man who died in police custody this week.

Details: "I can’t stand back & watch this happen to a great American City, Minneapolis. A total lack of leadership. Either the very weak Radical Left Mayor, Jacob Frey, get his act together and bring the City under control, or I will send in the National Guard & get the job done right," Trump tweeted after a police station was torched by some protesters.

24 mins ago - Technology

Twitter: Trump's Minnesota tweet violated rules on violence

Twitter said Friday morning that a tweet from President Trump in which he threatened shooting in response to civil unrest in Minneapolis violated the company's rules. The company said it was leaving the tweet up in the public interest.

Why it matters: The move exacerbates tensions between Twitter and Trump over the company's authority to label or limit his speech and, conversely, the president's authority to dictate rules for a private company.

Updated 2 hours ago - Politics & Policy

In photos: Protests over George Floyd's death grip Minneapolis

Protesters cheer as the Third Police Precinct burns behind them on in Minneapolis on Thursday night. Photo: Stephen Maturen/Getty Images

Cheering protesters set a Minneapolis police station on fire Thursday night in the third night of unrest following the death of George Floyd, a black man who died in police custody in the city, per AP.

The state of play: Minnesota's governor on Thursday activated the state's national guard following violent outbreaks throughout the week, as the nation waits to see if the officers involved will be charged with murder.