Buyback
Scorecard
The Most and Least Effective Stock Buyback Programs
Best and Worst Programs
Industry Comparisons
The table below ranks the 268 companies in the S&P 500 that bought back at least 4 percent or $1 billion of their shares from June 30, 2011 through June 30, 2013. The companies are ranked according to their return on investment from these repurchases. As calculated by Fortuna Advisors, a New York City-based consultancy that compiled the data for Institutional Investor, buyback ROI measures the overall rate of return of buybacks, based on the internal rate of return of the cash flows associated with them. Buyback strategy tracks the performance of the underlying stock in terms of annualized total shareholder return. Once Fortuna determines buyback ROI and buyback strategy, buyback effectiveness can then be calculated as simply the difference between the two, determined as compounded return.
How the S&P 500 Stack Up as Stock Repurchasers
1—50 | 51—100 | 101—150 | 151—200 | 201—250 | 251—268
Company Industry Market
Capitalization $ Total
Buyback $ Total
Buyback
/ Market Cap Buyback
Strategy Buyback
Effectiveness Buyback ROI Average $38,681 $2,912 9.3% 13.5% 10.4% 25.0% Median $15,858 $1,350 8.1% 13.5% 9.7% 24.1% 101 Northrop Grumman Corp. Capital Goods $19,472 $3,519 18.1% 14.1% 13.1% 29.1% 102 Fiserv Software and Services $11,640 $988 8.5% 18.6% 8.8% 29.0% 103 Wells Fargo & Co. Banks $218,582 $7,100 3.2% 19.9% 7.6% 28.9% 104 Monsanto Co. Materials $52,743 $1,026 1.9% 26.4% 1.8% 28.7% 105 Applied Materials Semiconductors and Semiconductor Equipment $17,928 $1,789 10.0% 4.4% 23.2% 28.6% 106 Raytheon Co. Capital Goods $21,463 $1,936 9.0% 17.5% 9.4% 28.6% 107 Tyco International Commercial and Professional Services $15,289 $800 5.2% 19.2% 7.8% 28.5% 108 JPMorgan Chase & Co. Diversified Financials $200,037 $10,691 5.3% 11.4% 14.7% 27.7% 109 Assurant Insurance $3,920 $852 21.7% 16.6% 9.4% 27.6% 110 The Nasdaq OMX Group Diversified Financials $5,436 $390 7.2% 9.8% 15.6% 27.0% 111 Halliburton Co. Energy $38,885 $1,137 2.9% -5.7% 34.5% 26.8% 112 Becton, Dickinson and Co. Healthcare Equipment and Services $19,198 $2,134 11.1% 9.5% 15.5% 26.5% 113 Automatic Data Processing Software and Services $33,412 $1,143 3.4% 16.5% 8.6% 26.5% 114 The Bank of New York Mellon Corp. Diversified Financials $32,556 $2,271 7.0% 3.8% 21.9% 26.5% 115 FMC Corp. Materials $8,312 $421 5.1% 21.6% 3.9% 26.3% 116 Franklin Resources Diversified Financials $28,919 $1,361 4.7% 10.4% 14.4% 26.3% 117 Lockheed Martin Corp. Capital Goods $34,714 $3,158 9.1% 19.0% 6.1% 26.3% 118 Nike Consumer Durables and Apparel $56,927 $3,075 5.4% 25.0% 0.9% 26.2% 119 Cisco Systems. Technology Hardware and Equipment $130,054 $7,863 6.0% 19.3% 5.6% 25.9% 120 Progressive Corp. Insurance $15,313 $878 5.7% 13.7% 10.6% 25.7% 121 Target Corp. Retailing $44,188 $3,685 8.3% 21.9% 3.1% 25.7% 122 Urban Outfitters Retailing $5,910 $329 5.6% 16.0% 8.0% 25.4% 123 The Chubb Corp. Insurance $21,939 $2,445 11.1% 20.1% 4.3% 25.2% 124 Electronic Arts Software and Services $7,037 $729 10.4% -3.7% 29.9% 25.1% 125 Lam Research Corp. Semiconductors and Semiconductor Equipment $7,215 $1,764 24.4% -2.5% 28.1% 25.0% 126 Merck & Co. Pharmaceuticals, Biotechnology and Life Sciences $140,261 $10,303 7.3% 19.9% 4.2% 24.9% 127 3M Co. Capital Goods $75,473 $5,542 7.3% 10.6% 12.9% 24.9% 128 Unum Group Insurance $7,840 $944 12.0% 6.0% 17.7% 24.8% 129 Time Warner Cable Media $32,728 $4,120 12.6% 16.5% 7.0% 24.7% 130 Cintas Corp. Commercial and Professional Services $5,580 $608 10.9% 21.9% 2.2% 24.6% 131 Robert Half International Commercial and Professional Services $4,637 $340 7.3% 12.7% 10.3% 24.4% 132 Computer Sciences Corp. Software and Services $6,576 $412 6.3% 4.9% 18.5% 24.3% 133 Illinois Tool Works. Capital Goods $31,156 $2,540 8.2% 12.4% 10.5% 24.2% 134 DIRECTV Media $34,429 $9,726 28.2% 11.5% 11.3% 24.1% 135 Wal-Mart Stores Food and Staples Retailing $244,080 $14,454 5.9% 22.5% 1.3% 24.1% 136 Altria Group Food, Beverage and Tobacco $70,091 $2,060 2.9% 21.8% 1.8% 24.0% 137 Harley-Davidson Automobiles and Components $12,302 $739 6.0% 21.2% 2.2% 23.8% 138 Baxter International Healthcare Equipment and Services $37,640 $2,665 7.1% 13.6% 9.0% 23.7% 139 Texas Instruments Semiconductors and Semiconductor Equipment $38,654 $3,950 10.2% 4.9% 17.8% 23.6% 140 Pall Corp. Capital Goods $7,412 $406 5.5% 11.9% 10.2% 23.3% 141 L Brands Retailing $14,252 $984 6.9% 25.5% -1.8% 23.3% 142 Colgate-Palmolive Co. Household and Personal Products $53,437 $3,503 6.6% 21.5% 1.5% 23.3% 143 Pepsico Food, Beverage and Tobacco $126,481 $5,990 4.7% 12.3% 9.6% 23.1% 144 Wisconsin Energy Corp. Utilities $9,375 $431 4.6% 21.1% 1.5% 23.0% 145 Legg Mason Diversified Financials $3,879 $741 19.1% -0.7% 23.8% 22.9% 146 Zimmer Holdings Healthcare Equipment and Services $12,617 $1,639 13.0% 10.2% 11.5% 22.8% 147 McGraw Hill Financial Diversified Financials $14,579 $1,969 13.5% 20.2% 1.8% 22.4% 148 Ross Stores Retailing $14,173 $865 6.1% 30.6% -6.4% 22.3% 149 General Electric Co. Capital Goods $239,787 $12,312 5.1% 12.6% 8.5% 22.3% 150 Marriott International Consumer Services $12,399 $2,400 19.4% 13.3% 7.8% 22.1% Source: Fortuna Advisors Analysis using data from the Capital IQ database. Financial Data from June 2011 to June 2013. Includes the 487 members of the current S&P 500 that were public for the full period. Market Capitalization as of: 06/30/2013. Companies Included here if $ Total Buyback / Market Capitalization is greater than 4% or if $ Total Buyback is greater than $1 Billion.