Shares of Bank of America Corp. BAC, -2.88% gained 1.2% in premarket trading Tuesday, after the bank said it authorized the repurchase of $2.9 billion worth of common shares through March 31. The bank also announced a regular quarterly dividend of 18 cents a share, to be payable March 26 to shareholders of record on March 5. The announcements come ahead of BofA’s fourth-quarter report, which is expected to be revealed later on Tuesday. The bank said that is the maximum allowed for the period, under guidelines established by the Federal Reserve. Based on Friday’s closing stock price of $33.01, that buyback program could represent up to 87.85 million shares, or about 1% of the shares outstanding. BofA’s stock has run up 39.2% over the past three months through Friday, while the S&P 500 SPX, -0.72% has gained 10.0%.
View Article Origin Here
