Buyback Scorecard
Stock Buyback
ROI Edges into the Black, Barely
The S&P 500
as Stock Repurchasers
Best & Worst Companies
The table below ranks the 305 companies in the S&P 500 that bought back at least 4 percent or more than $1 billion of their shares from June 30, 2014 to June 30, 2016. The companies are ranked according to their return on investment from these repurchases. As calculated by Fortuna Advisors, a New York City-based consultancy that compiled the data for Institutional Investor, buyback ROI measures the overall rate of return of buybacks, based on the internal rate of return of the cash flows associated with them. Buyback strategy tracks the performance of the underlying stock in terms of annualized total shareholder return. Once Fortuna determines buyback ROI and buyback strategy, buyback effectiveness can then be calculated as simply the difference between the two, determined as compounded return.
How Industries Compare as Stock Repurchasers
| Industry | Market Capitalization | $ Total Buyback | $ Total Buyback / Market Cap | Buyback Strategy | Buyback Effectiveness | Buyback ROI |
| Food, Beverage and Tobacco | $1,170,404 | $44,301 | 3.8% | 13.6% | -1.2% | 12.3% |
| Software and Services | $2,360,017 | $110,859 | 4.7% | 12.3% | -1.7% | 10.5% |
| Telecommunication Services | $533,690 | $6,813 | 1.3% | 6.9% | 3.3% | 10.4% |
| Consumer Services | $308,119 | $31,687 | 10.3% | 12.1% | -2.0% | 9.9% |
| Commercial and Professional Services | $126,179 | $7,551 | 6.0% | 13.5% | -3.3% | 9.8% |
| Household and Personal Products | $404,970 | $15,418 | 3.8% | 8.6% | 0.4% | 9.1% |
| Food and Staples Retailing | $562,936 | $28,023 | 5.0% | 8.7% | -1.3% | 7.3% |
| Real Estate | $609,169 | $4,928 | 0.8% | 6.3% | 0.6% | 6.9% |
| Capital Goods | $1,323,801 | $110,974 | 8.4% | 5.6% | 0.6% | 6.2% |
| Healthcare Equipment and Services | $1,042,476 | $48,899 | 4.7% | 14.2% | -7.2% | 6.0% |
| Utilities | $654,262 | $3,554 | 0.5% | 2.7% | 2.0% | 4.8% |
| Retailing | $1,083,005 | $63,314 | 5.8% | 15.2% | -9.1% | 4.6% |
| Insurance | $490,160 | $59,003 | 12.0% | 6.2% | -1.8% | 4.3% |
| Consumer Durables and Apparel | $297,993 | $14,235 | 4.8% | 8.2% | -4.0% | 3.9% |
| Pharmaceuticals, Biotechnology and Life Sciences | $1,702,111 | $95,835 | 5.6% | 8.2% | -7.1% | 0.5% |
| Semiconductors and Semiconductor Equipment | $516,368 | $45,279 | 8.8% | 1.6% | -1.5% | 0.1% |
| Media | $548,765 | $56,054 | 10.2% | 3.8% | -4.7% | -1.1% |
| Materials | $539,137 | $35,749 | 6.6% | -0.9% | -1.9% | -2.8% |
| Banks | $959,645 | $60,112 | 6.3% | 1.5% | -5.4% | -4.0% |
| Transportation | $391,392 | $41,618 | 10.6% | 3.4% | -8.5% | -5.4% |
| Technology Hardware and Equipment | $872,525 | $119,361 | 13.7% | 6.5% | -11.5% | -5.8% |
| Automobiles and Components | $161,117 | $15,995 | 9.9% | -5.0% | -1.1% | -6.1% |
| Energy | $1,356,875 | $36,694 | 2.7% | -7.4% | 0.5% | -7.0% |
| Diversified Financials | $964,164 | $61,873 | 6.4% | -2.3% | -6.7% | -8.9% |
| S&P 500 | $18,979,282 | $1,118,130 | 5.9% | 6.5% | -4.7% | 1.5% |
Source: Fortuna Advisors Analysis using data from the Capital IQ database. Financial Data from June 2014 to June 2016. Includes the 487 members of the current S&P 500 that were public for the full period. Market Capitalization as of: 6/30/2016. | ||||||
