Benzinga | Sep 23, 2021 12:16PM EDT

Dell Rolls Out Share Buyback Of Up To $5B, Annual Dividend Up To $1B

* Dell Technologies Inc (NYSE:DELL) announced long-term guidance, a share repurchase program and quarterly dividend plans for the first quarter of fiscal 2023 during Thursday's online Securities Analyst Meeting.

* Dell announced compounded annual revenue growth guidance of 3%-4% and compounded annual growth in non-GAAP EPS of 6%-plus through FY26.

* Dell is guiding to a net income to adjusted free cash flow conversion of 100% or better through this period.

* Dell is launching a share repurchase program of up to $5 billion effective November 2021 upon completing the VMware Inc (NYSE:VMW) spin-off.

* Dell plans to initiate a quarterly dividend from the first quarter of FY23 targeting an annual dividend of $1 billion.

* Dell aims to return 40%-60% of adjusted free cash flow to shareholders via share repurchases and dividends from FY23.

* DELL Price Action: Dell shares were trading 3.64% higher at $102.89 midday Thursday.