Meta announced on Thursday that it will pay a quarterly dividend for the first time, and said it authorized an expanded $50 billion share buyback program.
The company will pay a per-share dividend of 50 cents, joining peers Apple, Microsoft and Oracle, which all have regular payouts. The board intends to issue a cash dividend on a quarterly basis, “subject to market conditions.”
Meta announced the news alongside its fourth-quarter financials, which topped estimates on the top and bottom lines.
Shares rose more than 14% in extended trading. The dividend will be paid in March to all shareholders of record as of February 22.
The after-market rally continues a boom in Meta’s stock after the company’s market cap almost tripled in 2023. The stock eclipsed its 2021 record last month
With a current market capitalization of $1 trillion, the expanded authorization is equal to around 5% of shares outstanding. The company had $30.9 billion available for share repurchases as of December.
Neither Amazon nor Alphabet have ever paid a dividend. Microsoft issued its first dividend in 2003, while Oracle’s was initiated in 2009.
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