Applied Materials Increases Quarterly Cash Dividend by 15 Percent and Announces New $10 Billion Share Repurchase Authorization
Applied Materials, Inc. has increased its quarterly cash dividend by 15 percent, marking eight consecutive years of higher dividends, with a new share repurchase authorization enabling the company to buy back an additional $10 billion of its shares over time. The increase in dividend payout reflects the company's confidence in its business prospects and its ability to distribute excess cash to shareholders. This move also underscores Applied Materials' commitment to returning value to its investors.
- This strategic shift in share repurchase policy may be seen as a vote of confidence in the company's future growth prospects, potentially signaling a more aggressive approach to shareholder returns.
- How will the increased share repurchase authorization impact Applied Materials' stock performance and valuation in the short-term, considering its historical correlation with dividend payout increases?