Several shares have just announced a permit for ransom of shares, indicating their intentions to return significant capital to shareholders. These names vary in the amount of the middle of capitalization to a large capitalization to one of the largest publicly traded companies in the world. Below are details about these three names.
All metrics use data as of April 16 closed, unless otherwise indicated.
SEIC: The cost of ransom has potential to achieve another annual record
SEI investments today
As of 04/17/2025 21:00
- 52-week range
- $ 62.38
▼
$ 87.25
- Dividend yield
- 1.37%
- P/e ratio.
- 16.21
- Value is valuable
- $ 86.80
At first it is Sei Investments NASDAQ: CheckThe field on March 18, the financial service company announced an increase in its previous permission to buy out shares by $ 500 million. In general, the company now has 556 million dollars in the form of a ransom. The company’s market capitalization is about $ 9 billion. This reduction ability is significant, amounting to about 6.1% of the total cost.
In 2024, SEI recorded 500 million dollars for ransomThe field of using full $ 556 million in the form of a ransom in 2025 would have a company record for the cost of ransom for the second year in a row. The use of the dividend company adds capital return to its strategy. The shares have a solid specified dividend income of approximately 1.4%.
AVGO: Chip King hopes to spend billions on ransom and quickly
Broadcom today
As of 04/17/2025 21:00
- 52-week range
- $ 119.76
▼
$ 251.88
- Dividend yield
- 1.38%
- P/e ratio.
- 139.47
- Value is valuable
- $ 231,28
The next is the second largest action in the world in the semiconductor industry of Broadcom NASDAQ: AVGOThe field of April 7, this Chip action has announced a new promotion program that allows it buy up to 10 billion dollars its ordinary shares. This is approximately 1.2% of the total market capitalization of the company. Although this is a rather small announcement of the redemption compared to the size of the company, the speed with which Broadcom can use it, provides an additional cost.
This Permission to ransom It ends on December 31, 2025. This means that Broadcom probably intends to use all power in only eight months. This expected pace is significantly contrasting with many ransom permits, which can last endlessly. In these cases, companies can allow a larger redemption program regarding their size, but it will take several years to use it.
All other things being equal, a faster ransom rate is more useful for shareholders. This means that capital is returning earlier, and investors can reinvest income to get yield, not wait.
Broadcom, perhaps, saw the opportunity to redeem its shares at a discount, as its shares fell by about 24% in 2025. After 2021, Broadcom significantly increased the use of ransom of shares. Over the past three financial years, Broadcom has spent an average of about 6.7 billion dollars a year thanks to its stock redemption programs. This figure does not include shares purchased to withhold taxes to transfer shares.
If Broadcom uses full $ 10 billion, it will significantly accelerate its redemption rate compared to recent years. A fall in prices for shares Broadcom adds weight to the idea that the management team sees the opportunity. Broadcom also announced a significant increase in dividends by 11% in December 2024. The shares have the indicated dividend yield of about 1.3%, along with the S&P 500 index.
XPO: Big Time Outback Aduteiz
XPO today
- 52-week range
- $ 85.06
▼
$ 161.00
- P/e ratio.
- 29.93
- Value is valuable
- $ 139.89
Last XPO NYSE: XPOThe field of this ground transport action announced a permit for a ransom of shares in the amount of $ 750 million on March 27. This replaces, and does not add to the previous program to ransom shares of the company. With a market capitalization of about $ 11 billion, this ransom program is equal A very significant part the total cost of the company is about 6.8%.
However, over the past few years, XPO has slowly bought stocks. From 2020 to 2024, he spent an average of only $ 69 million a year on ransom. The company has finished its last ransom program with a capacity of 503 million dollars. This shows that he was in no hurry to use his ransom permit. This suggests that the company can continue to do the same with this new program, despite the increase in its potential.
Nevertheless, the company spent huge amounts of ransom in the past. He spent a colossal $ 1.4 billion in 2019 and almost $ 600 million in 2018. New permission to ransom Indicates that this may be ready to do it again. Perhaps he did not see his power of $ 503 million as enough compared to ransom that he wants to do in 2025.
Together, these three shares increased their possibilities for more than $ 12 billion, reflecting their commitment to the return of capital to shareholders.
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