News Stocks 

Cisco’s Plan to Bring $67 Billion Back to the U.S. Could Be a Major Windfall for Its Investors

“The networking equipment company will repatriate $67 billion in earnings, it said, a move that could reward investors to the tune of $44 billion in the form of share buybacks and raised dividends” writes David Meyer for fortune.com. Unlike Cisco (csco), Apple’s promises last month of its big earnings repatriation came alongside promises of 20,000 new jobs in the U.S. Apple said it would invest $30 billion in capital expenditures in the country over the next five years.The company’s Wednesday earnings release, in which Cisco announced a $25 billion increase in its stock buyback program and a dividend boost of 14%, helped lead to a 6.7% jump in its stock price in after-hours trading.Cisco is the latest big U.S. firm to announce that it will bring its overseas profits home, in order to take advantage of the one-off lower tax rate for repatriated earnings that was included in last year’s tax reform.
 
Source: fortune.com



Share This:

Related posts