Skip to content

Chevron Doubles Buyback as Spending Cap Helps Lift Cash Flow

  • Oil giant to buy back as much as $10 billion a year in stock
  • Chevron stock is at a record high on surging crude prices
Updated on

Chevron Corp. doubled its share buyback to as much as $10 billion a year, pledging that shareholders will see the benefits of high oil prices as it locks in spending at historically low levels and reduces costs.

Oil surge to $100 a barrel and record high cash flows have allowed the company to raise the repurchase target, after it lifted the dividend more than expected earlier this year. It’s the latest example of the stunning turnaround for the industry after the pandemic had decimated earnings less than two years ago. Shareholders are now seeing the bonanza as majors including Exxon Mobil Corp., Shell Plc and BP Plc have all agreed to boost returns.