NEW YORK, March 21, 2018 /PRNewswire/ -- S&P Dow Jones
Indices ("S&P DJI") today announced preliminary results
indicating that S&P 500® stock
buybacks, or share repurchases, totaled $137.0 billion for Q4 2017. This is a 6.0%
increase from the $129.2 billion
reported for Q3 2017 and a 1.2% increase from the $135.3 billion reported for Q4 2016.
For the 12-month period ending December 2017, S&P 500 issues spent
$519.4 billion on buybacks,
down 3.2% from $536.4 billion for
2016 and 9.2% from $572.2 billion for
2015; the all-time high, set in 2007, is $589.4 billion.
Historical data on S&P 500 buybacks is available at:
www.spdji.com/indices/equity/sp-500.
Key Takeaways:
- The number of S&P 500 issues substantially reducing their
year-over-year share count, which increases EPS, inched up to
15.1%, substantially lower than the 20% plus rate posted for 2015
and 2016.
- Total shareholder return rose to $246.4
billion, up 5.0% from $234.6
billion for Q3 2017.
- S&P 500 dividends rose to a record-high $109.5 billion, compared to $105.4 billion for Q3 2017.
- For full-year 2017, total shareholder return was $939.2 billion, up 0.6% from $933.6 billion for full-year 2016, yet down 1.6%
from $954.5 billion for full-year
2015.
- 294 S&P 500 issues reduced their share count during Q4
2017, compared to 274 during Q3 2017 and 281 during Q4 2016.
- Year-over-year share count reductions of at least 4%, which are
seen as affecting EPS, held flat at 70 issues.
"Year-end buyback expenditures for Q4 2017 increased 6.0%, while
the average corresponding stock price increased 5.5%," said
Howard Silverblatt, Senior Index
Analyst at S&P Dow Jones Indices.
"Fewer index issues are experiencing a significant EPS tailwind,
as share count reductions greater than 4% have yet to match the
20%+ levels from parts of 2015 and 2016.
"Buyback concentration slightly declined for the quarter. The 20
issues with the most quarterly expenditures accounted for 44.8%
($61.4 billion) of all share
repurchases, down from 45.5% ($58.8
billion) for Q3 2017 and 46.7% ($63.2
billion) for Q4 2016; the five-year average is 41.5%."
GICS® Sector Analysis:
Information Technology expenditures rose 28.3% to
$35.8 billion, compared to
$27.9 billion for Q3 2017. The sector
represents 26.1% of the index's buybacks and 45.7% of cash
reserves.
Financials' expenditures declined 1.0% to
$33.9 billion, after last quarter's
strong 27.7% increase; the sector represents 24.8% of the buybacks,
down from 26.5% for Q3 2017.
Energy buybacks returned, increasing to $5.2 billion, up 124% from $2.3 billion for Q3 2017 and 431% from
$1.0 billion for Q4 2016; levels
remain a fraction of previous amounts, such as $10.3 billion during Q4 2014 and $25.3 billion during Q4 2007.
Issues:
The five issues with the highest total buybacks for Q4 2017
are:
- Apple (AAPL): $10.1
billion for Q4 2017, the 12th highest quarter in
S&P 500 history and up from $7.8
billion for Q3 2017.
- Citigroup (C): $5.5 billion for Q4 2017, up from $5.4
billion for Q3 2017 and $4.1 billion for Q4 2016.
- Bank of America (BAC): $4.9
billion for Q4 2017, up from $3.0
billion for Q3 2017 and $1.3
billion for Q4 2016.
- J.P. Morgan (JPM): $4.81
billion for Q4 2017, up from $4.76
billion for Q3 2017 and $2.3
billion for Q4 2016.
- Charter Communications (CHTR): $4.0 billion for Q4 2017, up from $3.5 billion for Q3 2017 and $1.1 billion for Q4 2016.
The five issues with the highest total buybacks for full-year
2017 are:
- AAPL: $32.1 billion for full-year
2017, down from $33.7 billion for
full-year 2016.
- JPM: $15.4 billion for full-year
2017, up from $9.1 billion for
full-year 2016.
- C: $14.9 billion for full-year
2017, up from $9.6 billion for
full-year 2016.
- BAC: $12.8 billion for full-year
2017, up from $5.1 billion for
full-year 2016.
- CHTR: $11.7 billion for full-year
2017, up from $1.6 billion for
full-year 2016.
The five issues combined for $87.0
billion in share repurchases for full-year 2017.
Total Shareholder Return:
Silverblatt determined that total shareholder
return, through regular cash dividends and buybacks,
increased 5.0% to $246.4
billion for Q4 2017, up from $234.6 billion for Q3 2017. For the 12-month
period ending December 2017,
shareholder return totaled $939.2
billion, up 0.6% from $933.6
billion for the 12-month period ending December 2016.
S&P 500 dividends posted a 3.8% increase for Q4 2017 to a
record $109.5 billion, up from
$105.4 billion for Q3 2017. Payments
totaled a record $419.8 billion for
the 12-month period ending December
2017, up 5.7% from $397.2
billion for the 12-month period ending December 2016.
According to Silverblatt, preliminary cash reserves increased
from Q3 2017, setting another record. S&P 500 Industrial
(Old), which consists of the S&P 500 less Financials,
Transportations, Real Estate and Utilities, available cash and
equivalent stood at $1.636 trillion,
slightly above the $1.630 trillion
level for Q3 2017; available cash stood at $1.478 trillion for Q4 2016.
"Repatriation frees up cash for companies to use, but also
reduces the overall cash on hand since taxes will need to be paid
on them," noted Silverblatt.
"For 2018, expectations are high for greater corporate
expenditures, as lower income tax rates and repatriation should add
to available funds and investors pressure companies to use
it.
"Dividends, which are on track to set a seventh consecutive
record annual payment for 2018, may return to double-digit gains
last seen in 2015; 2016 posted a 5.4% gain and 2017 had a 7.0%
gain.
"S&P 500 issues have increased the size of their dividends
hikes this year an average of 14.04%, versus 11.36% for 2017 and
10.51% for 2016. No issues have lowered their rate and there are
128 increases so far for 2018.
"Combined, buybacks and dividends could put the S&P 500
over $1 trillion for total
shareholder return this year."
For more information about S&P Dow Jones Indices, please
visit www.spdji.com.
S&P Dow Jones
Indices
|
|
|
|
|
|
|
|
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S&P 500, $
U.S. BILLIONS
|
|
(preliminary in
bold)
|
|
|
|
|
|
|
PERIOD
|
MARKET
|
OPERATING
|
AS
REPORTED
|
|
|
|
|
DIVIDEND
&
|
DIVIDENDS
|
|
VALUE
|
EARNINGS
|
EARNINGS
|
DIVIDENDS
|
BUYBACKS
|
DIVIDEND
|
BUYBACK
|
BUYBACK
|
&
BUYBACKS
|
|
$
BILLIONS
|
$
BILLIONS
|
$
BILLIONS
|
$
BILLIONS
|
$
BILLIONS
|
YIELD
|
YIELD
|
YIELD
|
$
BILLION
|
|
|
|
|
|
|
|
|
|
|
2017
Prelim.
|
$22,821.24
|
$1,072.06
|
$940.95
|
$419.77
|
$519.40
|
1.84%
|
2.28%
|
4.12%
|
$939.17
|
2016
|
$19,267.93
|
$919.85
|
$818.55
|
$397.21
|
$536.38
|
2.06%
|
2.78%
|
4.85%
|
$933.60
|
2015
|
$17,899.56
|
$885.38
|
$762.74
|
$382.32
|
$572.16
|
2.14%
|
3.20%
|
5.33%
|
$954.47
|
|
|
|
|
|
|
|
|
|
|
12/29/2017
Prelim.
|
$22,821
|
$294.65
|
$230.12
|
$109.46
|
$136.97
|
1.84%
|
2.28%
|
4.12%
|
$246.43
|
9/29/2017
|
$21,579
|
$268.69
|
$243.77
|
$105.45
|
$129.17
|
1.92%
|
2.40%
|
4.32%
|
$234.61
|
6/30/2017
|
$20,762
|
$261.39
|
$231.40
|
$104.01
|
$120.11
|
1.96%
|
2.41%
|
4.37%
|
$224.12
|
3/31/2017
|
$20,276
|
$247.32
|
$235.65
|
$100.86
|
$133.15
|
1.98%
|
2.51%
|
4.49%
|
$234.01
|
12/31/2016
|
$19,268
|
$240.11
|
$207.93
|
$103.82
|
$135.29
|
2.06%
|
2.78%
|
4.85%
|
$239.11
|
9/30/2016
|
$18,742
|
$247.98
|
$219.46
|
$98.43
|
$112.20
|
2.10%
|
2.92%
|
5.01%
|
$210.63
|
6/30/2016
|
$18,193
|
$222.77
|
$201.79
|
$98.30
|
$127.50
|
2.14%
|
3.22%
|
5.36%
|
$225.81
|
3/31/2016
|
$17,958
|
$208.99
|
$189.37
|
$96.67
|
$161.39
|
2.15%
|
3.28%
|
5.43%
|
$258.05
|
12/31/2015
|
$17,900
|
$201.95
|
$163.76
|
$99.39
|
$145.88
|
2.14%
|
3.20%
|
5.33%
|
$245.27
|
9/30/2015
|
$16,917
|
$224.14
|
$204.58
|
$95.07
|
$150.58
|
2.22%
|
3.30%
|
5.52%
|
$245.66
|
6/30/2015
|
$18,219
|
$230.84
|
$201.35
|
$94.45
|
$131.56
|
2.03%
|
3.04%
|
5.07%
|
$226.01
|
3/31/2015
|
$18,303
|
$228.45
|
$193.05
|
$93.41
|
$144.13
|
1.98%
|
2.94%
|
4.92%
|
$237.54
|
12/30/2014
|
$18,245
|
$237.14
|
$202.31
|
$92.80
|
$132.63
|
1.92%
|
3.03%
|
4.95%
|
$225.43
|
9/30/2014
|
$17,519
|
$262.92
|
$244.00
|
$89.02
|
$145.19
|
1.96%
|
3.14%
|
5.10%
|
$234.22
|
6/30/2014
|
$17,404
|
$260.50
|
$240.96
|
$86.65
|
$116.17
|
1.91%
|
3.06%
|
4.98%
|
$202.82
|
3/31/2014
|
$16,700
|
$243.67
|
$221.82
|
$81.96
|
$159.28
|
1.93%
|
3.20%
|
5.14%
|
$241.24
|
12/31/2013
|
$16,495
|
$252.10
|
$236.31
|
$84.98
|
$129.41
|
1.89%
|
2.88%
|
4.77%
|
$214.40
|
9/30/2013
|
$14,960
|
$239.50
|
$219.13
|
$79.26
|
$128.16
|
2.05%
|
2.98%
|
5.03%
|
$207.42
|
6/30/2013
|
$14,310
|
$234.84
|
$221.56
|
$76.67
|
$118.05
|
2.07%
|
2.94%
|
5.02%
|
$194.72
|
3/31/2013
|
$13,979
|
$229.57
|
$215.76
|
$70.86
|
$99.97
|
2.06%
|
2.97%
|
5.02%
|
$170.82
|
12/31/2012
|
$12,742
|
$206.84
|
$184.50
|
$79.83
|
$99.15
|
2.20%
|
3.13%
|
5.33%
|
$178.98
|
S&P Dow Jones
Indices
|
|
|
|
|
|
|
S&P 500 SECTOR
BUYBACKS
|
|
|
|
|
|
|
SECTOR $
MILLIONS
|
Q4,'17
|
Q3,'17
|
Q4,'16
|
12MO
DEC','17
|
12MO
DEC,'16
|
5-YEARS
|
|
|
|
|
|
|
|
Consumer
Discretionary
|
$20,775
|
$24,242
|
$20,604
|
$83,570
|
$89,528
|
$417,110
|
Consumer
Staples
|
$10,490
|
$15,578
|
$11,615
|
$50,832
|
$43,440
|
$224,331
|
Energy
|
$5,203
|
$2,320
|
$979
|
$12,736
|
$5,762
|
$115,627
|
Financials
|
$33,903
|
$34,252
|
$26,772
|
$124,467
|
$104,357
|
$457,332
|
Healthcare
|
$15,814
|
$9,523
|
$28,898
|
$64,982
|
$87,588
|
$344,917
|
Industrials
|
$11,561
|
$13,087
|
$14,773
|
$53,560
|
$76,166
|
$330,292
|
Information
Technology
|
$35,817
|
$27,926
|
$28,731
|
$118,848
|
$119,457
|
$664,785
|
Materials
|
$2,067
|
$1,412
|
$2,497
|
$5,857
|
$8,397
|
$68,258
|
Real
Estate
|
$1,314
|
$806
|
$303
|
$3,844
|
$759
|
$4,603
|
Telecommunication
Services
|
$9
|
$3
|
$69
|
$485
|
$529
|
$24,369
|
Utilities
|
$17
|
$22
|
$51
|
$216
|
$399
|
$5,176
|
TOTAL
|
$136,969
|
$129,170
|
$135,292
|
$519,397
|
$536,382
|
$2,656,800
|
S&P Dow Jones
Indices
|
|
|
|
|
|
|
|
|
S&P 500 20
LARGEST Q4 2017 BUYBACKS, $ MILLIONS
|
|
|
|
|
|
|
Company
|
Ticker
|
Sector
|
Q4,'17
|
12MO
Dec,'17
|
12MO
Dec,'16
|
5-Year
|
10-year
|
Indicated
|
|
|
|
Buybacks
|
Buybacks
|
Buybacks
|
Buybacks
|
Buybacks
|
Dividend
|
|
|
|
$
Million
|
$
Million
|
$
Million
|
$
Million
|
$
Million
|
$
Million
|
Apple
|
AAPL
|
Information
Technology
|
$10,095
|
$32,144
|
$33,710
|
$173,880
|
$175,830
|
$12,938
|
Citigroup
|
C
|
Financials
|
$5,473
|
$14,946
|
$9,606
|
$33,461
|
$35,233
|
$3,384
|
Bank of
America
|
BAC
|
Financials
|
$4,869
|
$12,814
|
$5,112
|
$25,195
|
$25,213
|
$5,007
|
JPMorgan
|
JPM
|
Financials
|
$4,808
|
$15,410
|
$9,082
|
$39,657
|
$53,172
|
$7,772
|
Charter
Communications
|
CHTR
|
Consumer
Discretionary
|
$3,967
|
$11,715
|
$1,562
|
$13,349
|
$14,099
|
$0
|
Cisco
Systems
|
CSCO
|
Information
Technology
|
$3,862
|
$7,771
|
$4,133
|
$31,575
|
$58,884
|
$6,526
|
Celgene
|
CELG
|
Healthcare
|
$2,908
|
$3,833
|
$2,160
|
$15,000
|
$19,625
|
$0
|
Wells
Fargo
|
WFC
|
Financials
|
$2,862
|
$10,301
|
$8,610
|
$42,378
|
$50,646
|
$7,682
|
Walgreens Boots
Alliance
|
WBA
|
Consumer
Staples
|
$2,525
|
$7,288
|
$1,080
|
$11,393
|
$16,913
|
$1,615
|
Alphabet Inc.
(GOOGL)
|
GOOGL
|
Information
Technology
|
$2,101
|
$4,846
|
$3,693
|
$10,319
|
$11,237
|
$0
|
Oracle
|
ORCL
|
Information
Technology
|
$2,055
|
$3,975
|
$6,951
|
$40,124
|
$59,176
|
$3,172
|
Microsoft
|
MSFT
|
Information
Technology
|
$2,008
|
$8,405
|
$15,495
|
$56,164
|
$102,206
|
$12,961
|
Home Depot
|
HD
|
Consumer
Discretionary
|
$1,933
|
$8,000
|
$6,880
|
$37,426
|
$47,656
|
$4,811
|
Visa
|
V
|
Information
Technology
|
$1,866
|
$6,880
|
$7,106
|
$27,416
|
$48,559
|
$1,523
|
Procter &
Gamble
|
PG
|
Consumer
Staples
|
$1,751
|
$6,954
|
$2,003
|
$22,720
|
$54,189
|
$7,029
|
Boeing
|
BA
|
Industrials
|
$1,736
|
$9,236
|
$7,001
|
$30,790
|
$33,777
|
$4,074
|
Merck &
Co
|
MRK
|
Healthcare
|
$1,702
|
$4,014
|
$3,434
|
$25,853
|
$34,683
|
$5,252
|
Walmart
|
WMT
|
Consumer
Staples
|
$1,640
|
$8,296
|
$8,298
|
$28,404
|
$61,003
|
$6,213
|
Goldman
Sachs
|
GS
|
Financials
|
$1,629
|
$6,772
|
$6,078
|
$28,629
|
$45,536
|
$1,132
|
Starbucks
|
SBUX
|
Consumer
Discretionary
|
$1,601
|
$3,235
|
$2,158
|
$7,997
|
$9,813
|
$1,707
|
Top
20
|
|
|
$61,391
|
$186,835
|
$144,152
|
$701,730
|
$957,449
|
$92,797
|
S&P
500
|
|
|
$136,969
|
$519,397
|
$536,382
|
$2,656,800
|
$4,236,899
|
$457,357
|
Top 20 % of
S&P 500
|
|
|
44.82%
|
35.97%
|
26.87%
|
26.41%
|
22.60%
|
20.29%
|
Gross
values are not adjusted for float
|
|
|
|
|
|
|
S&P Dow Jones
Indices
|
|
|
S&P 500 20
Largest Quarterly Buybacks, $ Millions, as of Q4 2017, Apple added
for Q4 2017, ranking 12
|
$
MILLIONS
|
QUARTER
|
COMPANY
|
SECTOR
|
|
$17,971
|
Q1 2014
|
Apple
|
Information
Technology
|
1
|
$17,000
|
Q3 2014
|
Apple
|
Information
Technology
|
2
|
$16,000
|
Q2 2013
|
Apple
|
Information
Technology
|
3
|
$15,707
|
Q2 2007
|
International
Business Machines
|
Information
Technology
|
4
|
$13,253
|
Q3 2015
|
Apple
|
Information
Technology
|
5
|
$12,852
|
Q2 2012
|
Johnson &
Johnson
|
Healthcare
|
6
|
$12,318
|
Q4 2016
|
Allergan plc
(AGN)
|
Healthcare
|
7
|
$12,183
|
Q3 2012
|
Johnson &
Johnson
|
Healthcare
|
8
|
$10,851
|
Q4 2016
|
Apple
|
Information
Technology
|
9
|
$10,723
|
Q3 2007
|
Home Depot
|
Consumer
Discretionary
|
10
|
$10,166
|
Q2 2016
|
Apple
|
Information
Technology
|
11
|
$10,095
|
Q4
2017
|
Apple
|
Information
Technology
|
12
|
$10,000
|
Q2 2015
|
Apple
|
Information
Technology
|
13
|
$9,859
|
Q4 2007
|
Transocean
|
Energy
|
14
|
$9,179
|
Q4 2006
|
Exxon
Mobil
|
Energy
|
15
|
$9,465
|
Q1 2008
|
Exxon
Mobil
|
Energy
|
16
|
$8,845
|
Q4 2008
|
Exxon
Mobil
|
Energy
|
17
|
$8,761
|
Q2 2008
|
Exxon
Mobil
|
Energy
|
18
|
$8,663
|
Q3 2008
|
Exxon
Mobil
|
Energy
|
19
|
$8,463
|
Q3 2007
|
Exxon
Mobil
|
Energy
|
20
|
$232,354
|
|
TOP
20
|
|
|
|
|
|
|
|
SECTOR
|
DIVIDEND
|
BUYBACK
|
COMBINED
|
|
|
YIELD
|
YIELD
|
YIELD
|
|
Consumer
Discretionary
|
1.38%
|
2.84%
|
4.22%
|
|
Consumer
Staples
|
3.22%
|
2.90%
|
6.11%
|
|
Energy
|
3.05%
|
0.98%
|
4.03%
|
|
Financials
|
1.73%
|
3.44%
|
5.17%
|
|
HealthCare
|
1.70%
|
2.02%
|
3.72%
|
|
Industrials
|
1.93%
|
2.27%
|
4.20%
|
|
Information
Technology
|
1.30%
|
2.10%
|
3.40%
|
|
Materials
|
1.93%
|
0.85%
|
2.79%
|
|
Real
Estate
|
3.72%
|
0.62%
|
4.33%
|
|
Telecommunication
Services
|
5.44%
|
0.11%
|
5.55%
|
|
Utilities
|
3.75%
|
0.03%
|
3.78%
|
|
S&P
500
|
1.97%
|
2.23%
|
4.20%
|
|
Uses
full values (unadjusted for float)
|
|
|
|
Dividends based on indicated; buybacks based on the last 12-months
ending Q4,'17
|
S&P 500
diluted shares used for EPS
|
|
% of S&P 500
issues with a least a 4% change
|
(Y/Y diluted
shares used for EPS)
|
>=4%
|
<=-4%
|
Q4 2017
prelim.
|
6.91%
|
15.04%
|
Q3
2017
|
8.62%
|
14.23%
|
Q2
2017
|
10.00%
|
14.00%
|
Q1
2017
|
12.00%
|
14.80%
|
Q4
2016
|
10.48%
|
19.35%
|
Q3
2016
|
9.94%
|
23.73%
|
Q2
2016
|
10.48%
|
26.61%
|
Q1
2016
|
10.06%
|
28.17%
|
Q4
2015
|
9.48%
|
25.81%
|
Q3
2015
|
9.64%
|
22.69%
|
Q2
2015
|
9.04%
|
21.08%
|
Q1
2015
|
7.62%
|
21.04%
|
Q4
2014
|
6.04%
|
21.33%
|
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SOURCE S&P Dow Jones Indices