Thursday, May 30, 2013
CenturyLink Defies The Critics With Buyback
Back on the Q113 earnings report, CenturyLink, Inc. (CTL) defied the critics by announcing that the company had already repurchased $682 million worth of stock through May 7, 2013. Remember the company had slashed the dividend back in February, in order to better allocate cash and implement a more flexible stock buyback plan (see Did CenturyLink Just Become A Gold Mine To New Investors?) Critics at the time suggested that the company would never actually repurchase shares.
The mega-cap stock plunged 26% that day, but it has since rebounded to nearly $38 from the lows below $32. The third-largest telecommunications provider in the U.S. has already provided savvy investors with a nearly 20% gain from those first-day lows not even counting dividends.
Read the full article at Seeking Alpha.
Disclosure: Long CTL. Please review the disclaimer page for more details.