IBM raises guidance, plans to repurchase $15 billion of shares
Associated Press | Feb 26, 08 10:21 AM CST
IBM is raising the bottom end of its profit forecast for 2008 on the back of a new stock buyback plan, surpassing Wall Street's expectations.
The Armonk, New York-based company said Tuesday it plans to buy back $15 billion (?10.08 billion) worth of its stock, which will boost its earnings per share. IBM expects to spend $12 billion (?8.07 billion) on the buyback this year.
IBM is forecasting a profit for the year of at least $8.25 (?5.55) per share. In January, the company said it expects to earn $8.20 (?5.51) to $8.30 (?5.58) per share.
Analysts are predicting a profit of $8.22 (?5.53) per share, according to a Thomson Financial poll.
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