Chevron Corporation (NYSE: CVX) announced today that its Board of Directors approved a program to acquire up to $15 billion of the company’s common stock over a period of up to three years. This program follows three stock repurchase programs of $5 billion each that were completed in 2005, 2006 and September 2007.
No set timetable was established for the share repurchase program.
PAYOUT YIELD ANALYSIS
Although $15 billion sounds like a lot, the program will likely extend over 3 years based on past performance. That fact, combined with the company’s nearly $200 billion market cap and forward dividend yield of 2.5% makes the predicted Total Payout Yield less than 5%.
- Payout Yield Staff