United Overseas Bank (SGX: U11)
United Overseas Bank, or UOB, is Singapore’s third-largest bank by market capitalisation. The bank repurchased 62,100 shares for a total of S$2.26 million, translating to a payment of around S$36.40 per share. UOB reported a strong set of earnings for the third quarter of 2024 (3Q 2024)....Share buybacks are one of the methods that companies utilise to create value for their shareholders.
By repurchasing its own shares, companies reduce the pool of issued shares in the market, thereby enhancing the earnings per share, all things being equal.
Share buybacks also signal confidence in the business as only companies that have sufficient cash reserves are able to do so.
Other ways of returning capital to shareholders include the payment of dividends.
This week, we look at four prominent Singapore blue-chip stocks that bought back their shares and also dissect their latest earnings report.
Note: Share buyback details are for the period 22 to 28 November, 2024.
