Bulls Bet Megacap Stocks Primed For Buyback Boost
- Rising free cash flow could fuel more buybacks, analysts say
- Companies with buybacks have outperformed other Nasdaq stocks
An Apple store in New York.
Photographer: Victor J. Blue/BloombergThis article is for subscribers only.
Bulls hoping the Nasdaq 100’s best day since August is the start of a meaningful rebound may be about to get a boost from a long-standing ally: tech companies themselves.
Led by the likes of Apple Inc. and Microsoft Corp., Big Tech has for years been among the most extravagant spenders on their own stock, often to reduce dilution as new shares issued for compensation hit the market. The six biggest tech firms that repurchase shares have more than $250 billion set to deploy, from existing programs or ones authorized this year, according to data compiled by Bloomberg.