Buyback
Scorecard
CFOs Share Their Stock Buyback Secrets
Best and Worst Programs
Industry Comparisons
The table below ranks the 274 companies in the S&P 500 that bought back at least 4 percent of their shares from June 30, 2012, through June 30, 2014. 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—273
Company Industry Market
Capitalization $ Total
Buyback $ Total
Buyback
/ Market Cap Buyback
Strategy Buyback
Effectiveness Buyback ROI Average $47,210 $3,341 8.5% 24.7% 0.0% 24.5% Median $21,878 $1,619 7.4% 24.9% 0.1% 24.0% 1 Keurig Green Mountain Food, Beverage and Tobacco 20,279 1,262 6.2 88.3 15.2 117.0 2 Southwest Airlines Co. Transportation 18,583 1,220 6.6 73.5 10.5 91.6 3 SanDisk Corp. Technology Hardware and Equipment 23,623 2,037 8.6 57.8 9.9 73.5 4 Tyson Foods Food, Beverage and Tobacco 13,185 955 7.2 47.9 11.1 64.4 5 Western Digital Corp. Technology Hardware and Equipment 21,697 1,658 7.6 59.8 2.5 63.9 6 Hewlett-Packard Co. Technology Hardware and Equipment 63,027 3,634 5.8 24.0 32.1
63.7 7 LyondellBasell Industries Materials 51,490 2,169 4.2 62.6 -0.9 61.2 8 Gilead Sciences Pharmaceuticals, Biotechnology and Life Sciences 127,323 2,638 2.1 76.7 -9.6 59.7 9 Boston Scientific Corp. Healthcare Equipment and Services 16,891 975 5.8 48.6 6.5 58.3 10 Delphi Automotive Automobiles and Components 20,874 1,068 5.1 53.8 1.3 55.7 11 Corning Technology Hardware and Equipment 28,721 3,977 13.8 29.8 20.0 55.7 12 Halliburton Co. Energy 59,969 4,889 8.2 45.3 6.9 55.4 13 McKesson Corp. Healthcare Equipment and Services 43,125 1,393 3.2 42.0 8.8 54.5 14 The Kroger Co. Food and Staples Retailing 23,974 2,142 8.9 45.7 5.8 54.1 15 General Dynamics Corp. Capital Goods 39,960 3,431 8.6 34.8 14.2 54.0 16 Raytheon Co. Capital Goods 28,861 1,088 3.8 40.4 9.3 53.5 17 Lockheed Martin Corp. Capital Goods 50,723 3,559 7.0 43.2 7.0 53.3 18 MeadWestvaco Corp. Materials 7,430 431 5.8 26.3 20.5 52.2 19 Legg Mason Diversified Financials 5,983 724 12.1 40.5 8.2 52.0 20 Mylan Pharmaceuticals, Biotechnology and Life Sciences 19,270 1,500 7.8 51.1 0.3 51.5 21 Northrop Grumman Corp. Capital Goods 25,617 4,433 17.3 45.2 3.1 49.7 22 Ameriprise Financial Diversified Financials 22,786 3,136 13.8 52.0 -2.0 48.9 23 Valero Energy Corp. Energy 26,735 1,288 4.8 65.3 -10.0 48.7 24 The Dow Chemical Co. Materials 61,961 2,407 3.9 29.2 14.7 48.2 25 Lincoln National Corp. Insurance 13,567 942 6.9 50.2 -1.7 47.6 26 Seagate Technology Technology Hardware and Equipment 18,555 3,566 19.2 47.3 -0.4 46.6 27 Yahoo! Software and Services 35,369 6,154 17.4 50.8 -2.8 46.6 28 Harris Corp. Technology Hardware and Equipment 8,067 724 9.0 37.3 6.7 46.5 29 Adobe Systems Software and Services 35,990 1,550 4.3 41.2 2.6 44.9 30 WellPoint Healthcare Equipment and Services 30,096 4,571 15.2 25.0 15.6 44.5 31 St. Jude Medical Healthcare Equipment and Services 19,683 2,001 10.2 32.4 9.1 44.5 32 Dover Corp. Capital Goods 15,142 1,328 8.8 36.3 5.0 43.1 33 Allergan Pharmaceuticals, Biotechnology and Life Sciences 50,353 1,845 3.7 30.1 9.5 42.6 34 Humana Healthcare Equipment and Services 19,769 923 4.7 21.9 16.9 42.4 35 Assurant Insurance 4,696 628 13.4 38.0 3.0 42.2 36 L-3 Communications Capital Goods 10,413 1,501 14.4 36.2 3.7 41.2 37 Marriott International Consumer Services 18,766 2,086 11.1 26.3 11.3 40.6 38 McGraw Hill Financial Diversified Financials 22,601 1,609 7.1 36.5 2.9 40.6 39 Moody's Corp. Diversified Financials 18,733 4,449 7.7 48.7 -5.7 40.2 40 Lorillard Food, Beverage and Tobacco 22,104 1,330 6.0 22.0 14.7 39.9 41 V.F. Corp. Consumer Durables and Apparel 27,110 1,019 3.8 33.8 4.4 39.7 42 TE Connectivity Technology Hardware and Equipment 25,276 1,464 5.8 37.0 2.0 39.7 43 Xerox Corp. Software and Services 14,457 1,870 12.9 28.7 8.0 39.0 44 Aetna Healthcare Equipment and Services 28,978 2,640 9.1 33.8 3.9 38.9 45 FLIR Systems Technology Hardware and Equipment 4,919 329 6.7 28.6 8.1 38.9 46 Apple Technology Hardware and Equipment 560,337 50,860 9.1 3.5 34.3 38.9 47 DIRECTV Media 42,694 7,949 18.6 31.6 5.5 38.9 48 Flowserve Corp. Capital Goods 10,211 950 9.3 45.4 -4.5 38.9 49 Cardinal Health Healthcare Equipment and Services 23,324 1,123 4.8 30.7 6.0 38.6 50 NVIDIA Corp. Semiconductors and Semiconductor Equipment 10,345 1,487 14.4 22.0 13.6 38.5 Source: Fortuna Advisors Analysis using data from the Capital IQ database. Financial Data from June 2012 to June 2014. Includes the 490 members of the current S&P 500 that were public for the full period. Market Capitalization as of: 06/01/2014. Companies Included here if $ Total Buyback / Market Capitalization is greater than 4% or if $ Total Buyback is greater than $1 Billion.