Meta’s newly launched dividend is unlikely to benefit portfolios targeting a high yield, income managers told Investment Week. Instead, the move aims to settle shareholder concerns about the firm's management and how it is likely to distribute earnings amid its metaverse expansion.
Formerly known as Facebook, Meta revealed it was launching its first ever dividend at 50 cents (39p) a share in its annual results on 1 February 2024. The company also unveiled a $50bn (£39bn) share buyback programme on the same day. Scottish Mortgage repurchases Meta after 2020 exit Both announcements spurred a rally in the company's shares, rising by more than 15% on the day and adding more than £110bn to its valuation. Since then, the stock's share price has remained elevated, according to data from Nasdaq, hovering around the $460 per share mark. While the dividend o...
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