Ford Will Buy Back $1.8 Billion In Stock

May 8, 2014

Ford says it will buy back up to about 116 million shares of company stock worth about $1.8 billion. 

Credit Wikipedia

The Dearborn based automaker says the buy-backs will help offset potential dilution from convertible debt and stock-based compensation for employees.

Those can increase the number of shares on the market and weigh on per-share earnings. By buying back its shares, Ford can help boost its earnings per share.

The price tag is based on Wednesday's closing price of $15.46 per share.

Ford Motor Co. shares rose nearly 1 percent to $15.60 in after-hours trading Wednesday. They closed down 10 cents at $15.46. The stock's value is nearly unchanged in 2014.