Microsoft stock rose 1% in premarket trading on boosting dividend 11% and setting new $60 billion buyback.
Microsoft Corporation said in a statement Tuesday it plans to buy back $60 billion worth of shares.
The company’s share repurchase program has no expiration date and can be terminated at any time, as per the statement.
The Redmond, Washington-based tech giant also declared a quarterly dividend of $0.62 per share, an increase of 6 cents, or 11%,over the previous quarter.
The dividend will be payable on Dec. 9 to shareholders of record on Nov. 18 with the ex-dividend date set as Nov. 17.
Additionally, Microsoft’s board of directors approved the appointment of Brad Smit has president and vice chair.
Microsoft’s dividend announcement isin line with the estimateof Morgan Stanley analyst Keith Wiess,who said the company could increase its dividend per share from 56 cents to 62 cents.