The global volume of share buybacks by companies reached a record $1.31 trillion in 2022 – MarketWatch
Corporate share repurchases globally have tripled over the past decade
In 2022, the total value of share buybacks increased by 22% year-on-year, approaching the size of dividends paid out ($1.39 trillion).
This is reported by MarketWatch.
"The rapid growth of buybacks over the last three years reflects strong earnings and free cash flow dynamics, as well as a willingness to reward shareholders without creating unwanted expectations for dividends," analysts from investment firm Janus Henderson noted.
The oil industry was the leader in buyback value in 2022 "by a large margin," with its representatives buying back their own shares worth $135 billion – four times more than the previous year. "Nearly all of this money in the oil sector was spent by companies from North America, the UK, and to a lesser extent Europe," Janus Henderson pointed out.
Background. Mind previously reported that construction company CRH would buy back its own shares worth $3 billion in 2023.
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