Billionaire investor Warren Buffett is a huge advocate of companies buying back their shares for the correct reasons. On that note, let’s look at the three banks, which are part of the Straits Times Index (SGX: ^STI), that have repurchased their shares thus far during the week, as of market open today.
United Overseas Bank Ltd (SGX: U11)
With more than 500 branches in 19 countries, United Overseas Bank (UOB) is one of the largest banks in Southeast Asia.
On 20, 21 and 23 August 2018, UOB bought back a total of 160,242 shares at a price range of between S$26.60 and S$27.30 per share. The total cost came up to slightly below S$4.33 million.
UOB shares closed at S$27.30 apiece on Thursday. This translates to a price-to-book (PB) ratio of 1.2 and a dividend yield of 3.5%.
DBS Group Holdings Ltd (SGX: D05)
DBS is a leading financial services group headquartered in Singapore which operates across 18 markets.
On 21 and 23 August, DBS bought back a total of 1,600,000 shares at a price range of between S$24.99 and S$25.55 per share. It spent around S$40.55 million in all.
Shares in DBS closed at S$25.55 each on Thursday. The bank was selling at a PB ratio of 1.4 and has a dividend yield of 4.7%.
Oversea-Chinese Banking Corp Limited (SGX: O39)
Oversea-Chinese Banking Corporation, or OCBC for short, is the longest established local bank and is the second largest financial services group in Southeast Asia by assets.
On 21 and 23 August, OCBC repurchased 200,000 shares ranging from S$11.19 to S$11.24 apiece, translating to a total cost of slightly above S$2.24 million.
OCBC ended Thursday at S$11.21 per share. This gives a PB ratio of 1.2 and a dividend yield of 3.5%.
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The information provided is for general information purposes only and is not intended to be personalised investment or financial advice. The Motley Fool Singapore has recommended shares of DBS Group Holdings Ltd and United Overseas Bank Ltd. Motley Fool Singapore contributor Sudhan P doesn’t own shares in any companies mentioned.