Microsoft announced a $40 billion stock buyback on Tuesday, as well as a 22 percent dividend increase.
The board approved the new stock repurchase program to replace the previous buyback program, which was set to expire at the end of this month. The new share repurchase program has no expiration date.
The quarterly dividend was increased to $0.28 per share, which is a five cent increase over the previous quarter. The dividend will be payable to shareholders on December 12 and is applicable to all shareholder of record on Nov. 21, 2013.
News of the company's buyback program comes just before the company's analyst meeting on Thursday.
image: © Nils Geylen