Travelers Spends Record Amount on Buybacks and 2 Other Dow Movers to Watch
Travelers Cos. Inc. (NYSE:TRV): Current price $83.23
Travelers has spent a record amount of money on share buybacks in the present quarter while it benefits from lower costs connected with severe natural disasters. From July 1 through Wednesday, the insurer repurchased $633 million worth of stock, bringing its 2013 total to roughly $1.2 billion, CEO Jay Fishman said Thursday at a Barclays conference. Thus far in the third quarter, catastrophe costs have totaled around $30 million after taxes. Domestic property insurers are benefiting in 2013 from calmer weather after tornadoes and other natural disasters made claims costs spike in recent years.
Hewlett-Packard Co. (NYSE:HPQ): Current price $21.89
Shares are down about 1.6 percent Thursday after UBS lowered its earnings estimate and price target for HP only days after the personal computer maker was dropped from the Dow Jones Industrial Average. Referring to HP’s disappointing third-quarter results in August, UBS warned that the firm could give a weak earnings guidance at its analyst meeting October 9. Analyst Steven Milunovich wrote in a note,”We expect that the disappointment of the fiscal third quarter will impact the earnings guidance at the meeting, partially offset by a solid free cash flow expectation and an increased share repurchase program.”
Intel Corp. (NASDAQ:INTC): Current price $22.74
According to Gary Krakow at The Street, Intel’s next-generation Atom processors are poised to make a big impact in new personal computers, tablets, and Chromebooks. The new quad-core Haswell chips represent the most recent addition to Intel’s Atom line of lower cost processors, he said, and are intended to compete directly with the presently favored ARM-based chips. Beyond that, the new devices promise lower power consumption and enhanced computing performance.