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October’s Largest Buybacks (PPG, OKE, CY, EBAY, WTW, EMC, KO, VAL, WAG, IRM, FDO, CVX)

Administrator — Fri, 22 Oct 2010 15:37:15 +0000

Despite the rise of the stock market, many companies are continuing to repurchase their shares in the open market. Many investors prefer dividends over buybacks, but asking which is a better reward for shareholders depends solely upon whom you ask. While these are not all of the buybacks throughout October, we have tracked some key buybacks from the likes of PPG Industries Inc. (NYSE: PPG), ONEOK Inc. (NYSE: OKE), Cypress Semiconductor Corporation (NYSE: CY), eBay Inc. (NASDAQ: EBAY), Weight Watchers International, Inc. (NYSE: WTW), EMC Corp. (NYSE: EMC), Coca-Cola Company (NYSE: KO), Valspar Corporation (NYSE: VAL), Walgreen Co. (NYSE: WAG), Iron Mountain Incorporated (NYSE: IRM), Family Dollar Stores, Inc. (NYSE: FDO), and Chevron Corp. (NYSE: CVX).

We have offered color on each with applicable data on how each compares to size and volume, along with other statistical reference.

PPG Industries Inc. (NYSE: PPG) approved an additional 10 million shares of outstanding common stock, effective immediately and without an expiration. Back in December 2009, PPG authorized 5 million shares in a buyback and approximately 3.1 million shares of that plan are still available for repurchase. Average volume here is 1.2 million shares and the market cap is $12.65 billion. This is large in dollar terms, but not a massive game-changer on its float if it buys shares back at roughly the same rate it has. At $76.60, the 52-week range is $55.89 to $77.95.

Natural gas distributor ONEOK Inc. (NYSE: OKE) has approved $750 million over a three year period. The market cap here is $5.33 billion and with shares at $50.05 the 52-week trading range is $29.56 to $50.85. This buyback is large in size and large in scope as the current share price would retire 14% of the stock based on today’s prices and the buyback represents over 22 days worth of trading volume.

Cypress Semiconductor Corporation (NYSE: CY) may have found an alternative to M&A. After announcing a buyback plan of up to $600 million, the market cap today is only about $2.15 billion. At $13.35, the 52-week trading range is $8.05 to $13.89. This won’t happen overnight as the cash and equivalents on the books come in at about $279 million.

eBay Inc. (NASDAQ: EBAY) rose after earnings, but the buyback and leveraging of the books may have contributed more than anything here along with $300 million spent buying back stock in the last quarter. eBay said that the company authorized up to $2 billion for additional share buybacks. It also authorized a commercial paper program of up to $1 billion and has approved the sale of up to $1.5 billion in term-debt financing under an existing shelf registration.

Weight Watchers International, Inc. (NYSE: WTW) approved a buyback plan of up to $250 million, which is a combination and add-on to a prior share buyback plan. This represents 10% of the implied shares that could be bought back and at current prices it represents almost 29-days worth of volume.

Filed under: Dividend, Stock Buybacks Tagged: CVX, CY, EBAY, EMC, FDO, IRM, KO, OKE, PPG, VAL, WAG, WTW

Media Digest 1/27/2010

247wallst — Wed, 27 Jan 2010 08:49:34 +0000

Reuters: Obama will focus on jobs and the deficit.

Reuters: Toyota (NYSE:TM) will suspend manufacturing of eight models.

Reuters: Geithner and the NY Fed defended their actions in AIG (AIG) bailout.

Reuters: China will put no curbs on Google’s (GOOG) mobile technology.

Reuters: Oracle (ORCL) plans to hire 2,000 workers after the finish of its Sun buyout.

Reuters: The NY Fed supported AIG secrecy to preserve the value of its assets.

WSJ: Book publishers are negotiating with Apple (AAPL) to be part of the content for its new tablet computer.

WSJ: Banks are setting up stronger rules to get back pay from executives whose bets blow up later.

WSJ: GM closed a deal to sell Saab.

WSJ: Yahoo! (YHOO) showed a profit.

WSJ: Over half the Senate backs Bernanke.

WSJ: Verizon (NYSE:VZ) will fire 13,000 people.

WSJ: The US deficit will reach $1.35 trillion this year.

WSJ: Valero (VAL) profits dropped as refinery margins fell.

WSJ: Ellison, the head of Oracle, will set new plans to develop high-end computer systems.

WSJ: Ebay (EBAY) is setting new fees to bring in additional sellers.

WSJ: The head of Borders Group (BGP) left to join A&P.

WSJ: Berkshire Hathaway (NYSE:BRK) joined the S&P 500.

WSJ: The iPhone has become core to Apple’s (AAPL) revenue.

NYT: Some struggling banks have the industry’s most favorable compensation.

NYT: The British central bank favors splitting big banks

NYT: Obama plans his own commission on national debt.

NYT: Japan exports rose for the first time since the recession began.

NYT: The IRS is moving against some tax shelters.

FT: Greece is inviting China to buy its bonds.

FT: US government agencies called for more shared efforts against cyberattacks.

Bloomberg: The Fed may gamble that ceasing its buying of mortgage debt may not hurt housing.

Bloomberg: CDs for sovereign debt are more actively traded.

Douglas A. McIntyre

Posted in Press Digest Tagged: AAPL, AIG, BGP, BRK, EBAY, GOOG, ORCL, TM, VAL, VZ, YHOO

Top Pre-Market Anlyst Upgrades & Downgrades (IHG, MRVL, VAL, VSAT, MDRX, AAPL, COF, CHRW, NHY, TSON)

247wallst — Tue, 24 Feb 2009 12:23:42 +0000

These are some of the top pre-market analyst upgrades and downgrades we have seen on Wall Street early this Tuesday morning:

Intercontinental Hotels Group plc (IHG) Raised to Buy at Jefferies.
Marvell Tech (MRVL) Raised to Outperform at Barclays.
Valspar (VAL) Raised to Neutral from Underweight at JPMorgan.
ViaSat (VSAT) Started as Buy at SunTrust Robinson Humphrey.
Allscripts-Misys Healthcare (MDRX) Cut to Sell at Deutsche Bank.
Apple (AAPL) Cut to Underperform from Outperform at Calyon.
Capital One (COF) Cut to Neutral at JPMorgan.
CH Robinson Worldwide (CHRW) Cut to Underperform at Wachovia.
Norsk Hydro (NHY) Cut to Underweight at JPMorgan.
Trans1 (TSON) Cut to Market Performn at Wachovia.

Jon C. Ogg
February 24, 2009

Posted in Analyst Calls Tagged: AAPL, CHRW, COF, IHG, MDRX, MRVL, NHY, TSON, VAL, VSAT

Pre-Market Analyst Calls (October 2, 2007)

247wallst — Tue, 02 Oct 2007 06:42:46 +0000

ACAD started as Hold at Citigroup.
ALB raised to Neutral at Goldman Sachs.
AMB raised to Buy at B of A.
APD cut to Neutral at Goldman Sachs.
BAC started as Buy at Goldman Sachs.
BDN cut to Neutral at B of A.
BIIB cut to Underperform at Credit Suisse.
BRLC cut to Neutral at R.W.Baird.
CBS cut to Hold at Deutsche Bank.
CNH cut to Neutral at Goldman Sachs.
CYPB started as Outperform at FBR.
ELN started as Underperform at FBR.
FRX raised to Hold at Citigroup.
MDCO raised to Buy at UBS.
MON removed from Goldman Sachs Conviction Buy List.
MPG cut to Sell at B of A.
NOK cut to Mkt Perform at JMP Securities.
NVT raised to Hold at Deutsche Bank (ooops); cut to Neutral at UBS.
ONXX cut to Peer Perform at at Bear Stearns.
PDLI raised to Outperform at Wachovia.
PLD raised to Buy at B of A.
RATE cut to Neutral at Merriman Curhan Ford.
SLG cut to Neutral at B of A.
STEI started as Buy at B of A.
UBS raised to Neutral at JPMorgan.
VAL cut to Sell at Goldman Sachs.
WAG cut to Neutral at Goldman Sachs (late Monday call); cut to Neutral at Merrill Lynch.

Jon C. Ogg
October 2, 2007