Nordstrom, Inc. (NYSE: JWN) announced a $1.5 billion share repurchase program.
The company last repurchased shares in the second quarter of fiscal 2007, completing its $1 billion share repurchase program that was authorized in May of 2006. The shares from the new authorization are expected to be acquired through open market transactions over a period of up to the next 24 months.
Nordstrom, Inc. also announced a quarterly dividend of $0.135 per share payable on September 14, 2007, to shareholders of record on August 31, 2007.
Nordstrom, Inc. is one of the nation’s leading fashion specialty retailers, with 157 US stores located in 27 states.
PAYOUT YIELD ANALYSIS
With 252 million shares outstanding, the $1.5 billion repurchase promises to return $2.98 per share in each of the next 2 years. Combined with the forward annualized dividend of $0.54, the Total Payout is projected to be $3.52 per share per year. At a share price of $45.50, the Total Payout Yield is 7.7%.
- Payout Yield Staff