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Mitsubishi UFJ (MUFG) Repurchases 37M Shares Under 80M Plan
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Mitsubishi UFJ Financial Group, Inc. (MUFG - Free Report) announced progress on its previously declared share repurchase program. The company repurchased 37,026,800 shares of its common stock at an aggregate price of ¥59.8 billion between Jun 1, 2024, and Jun 21, 2024.
The share buybacks were carried out under the company’s ¥100-billion share repurchase program announced on May 15, 2024. The plan allows MUFG to repurchase up to 80,000,000 shares, representing 0.68% of the total shares outstanding, excluding treasury stock.
Since May 2017, Mitsubishi UFJ has completed several share repurchase programs to strengthen investors’ confidence in the stock. In total, the company repurchased 62.7 million shares since the authorization through Jun 21, 2024, for approximately ¥100 billion.
Besides the share repurchase program, MUFG has an impressive dividend policy. For Fiscal 2024, the company increased the forecast for dividend per common stock to ¥50 from ¥41 in fiscal 2023. Further, it targets a dividend payout ratio of 40% by the end of fiscal 2024. By leveraging the capital surplus, MUFG aims to attract investors by a progressive increase in dividends and executing flexible share repurchases.
As of Mar 31, 2024, the company had cash and due from banks of ¥109.9 trillion, significantly higher than its borrowed money of ¥26 trillion. Given a sound balance sheet and solid liquidity position, MUFG’s capital distribution activities seem sustainable in the long run.
Over the past six months, shares of MUFG have gained 20.3% on the NYSE compared with the industry’s 0.7% growth.
Image Source: Zacks Investment Research
Currently, Mitsubishi UFJ carries a Zacks Rank #4 (Sell).
Share Buyback Plans of Other Financial Services Firms
Last week, Northfield Bancorp, Inc. (NFBK - Free Report) announced a new share repurchase program. Under the plan, the board of directors authorized the buyback of $10 million worth of shares. The plan began on Jun 18, 2024, with no set expiration. This plan is in succession to the $5 million repurchase plan approved this April.
Prior to the April share buyback plan, NFBK had announced a share repurchase program in November 2023, authorizing the buyback of up to $7.5 million worth of shares. The company completed this program in March 2024, with the repurchase of 0.3 million shares at an average cost of $12.17 during the quarter.
Last Month, Cathay General Bancorp. (CATY - Free Report) announced a new share repurchase program. Under the plan, the board of directors authorized the buyback of $125 million worth of shares. There is no set expiration for the program.
Previously, CATY had announced a share repurchase program in May 2022, authorizing the buyback of up to $125 million worth of shares. The company completed this program in February 2023, with the repurchase of 2.9 million shares at an average cost of $43.14.
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Mitsubishi UFJ (MUFG) Repurchases 37M Shares Under 80M Plan
Mitsubishi UFJ Financial Group, Inc. (MUFG - Free Report) announced progress on its previously declared share repurchase program. The company repurchased 37,026,800 shares of its common stock at an aggregate price of ¥59.8 billion between Jun 1, 2024, and Jun 21, 2024.
The share buybacks were carried out under the company’s ¥100-billion share repurchase program announced on May 15, 2024. The plan allows MUFG to repurchase up to 80,000,000 shares, representing 0.68% of the total shares outstanding, excluding treasury stock.
Since May 2017, Mitsubishi UFJ has completed several share repurchase programs to strengthen investors’ confidence in the stock. In total, the company repurchased 62.7 million shares since the authorization through Jun 21, 2024, for approximately ¥100 billion.
Besides the share repurchase program, MUFG has an impressive dividend policy. For Fiscal 2024, the company increased the forecast for dividend per common stock to ¥50 from ¥41 in fiscal 2023. Further, it targets a dividend payout ratio of 40% by the end of fiscal 2024. By leveraging the capital surplus, MUFG aims to attract investors by a progressive increase in dividends and executing flexible share repurchases.
As of Mar 31, 2024, the company had cash and due from banks of ¥109.9 trillion, significantly higher than its borrowed money of ¥26 trillion. Given a sound balance sheet and solid liquidity position, MUFG’s capital distribution activities seem sustainable in the long run.
Over the past six months, shares of MUFG have gained 20.3% on the NYSE compared with the industry’s 0.7% growth.
Image Source: Zacks Investment Research
Currently, Mitsubishi UFJ carries a Zacks Rank #4 (Sell).
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Share Buyback Plans of Other Financial Services Firms
Last week, Northfield Bancorp, Inc. (NFBK - Free Report) announced a new share repurchase program. Under the plan, the board of directors authorized the buyback of $10 million worth of shares. The plan began on Jun 18, 2024, with no set expiration. This plan is in succession to the $5 million repurchase plan approved this April.
Prior to the April share buyback plan, NFBK had announced a share repurchase program in November 2023, authorizing the buyback of up to $7.5 million worth of shares. The company completed this program in March 2024, with the repurchase of 0.3 million shares at an average cost of $12.17 during the quarter.
Last Month, Cathay General Bancorp. (CATY - Free Report) announced a new share repurchase program. Under the plan, the board of directors authorized the buyback of $125 million worth of shares. There is no set expiration for the program.
Previously, CATY had announced a share repurchase program in May 2022, authorizing the buyback of up to $125 million worth of shares. The company completed this program in February 2023, with the repurchase of 2.9 million shares at an average cost of $43.14.