Group 1: Overview of Share Buyback Programs - Several influential companies in the technology and financial sectors have announced massive share repurchase programs totaling over $130 billion, indicating confidence in their equity despite mixed macroeconomic signals [1][3] - Visa announced a $30 billion buyback program, a significant increase from its previous $25 billion plan, reflecting strong confidence in long-term growth [4][5] - Apple revealed a $100 billion buyback authorization, one of the largest in history, but some investors were underwhelmed as it was $10 billion smaller than its previous program [8][9] Group 2: Visa's Buyback Details - Visa's new buyback program brings its total repurchase capacity to nearly $35 billion, equating to about 5.2% of its market capitalization, which is aggressive for a company of its size [7] - The buyback reflects strong cash generation and a belief that shares are attractively priced in the current environment [7] Group 3: Apple's Buyback Insights - Apple's $100 billion buyback represents 3.1% of its market capitalization, lower than the 4.1% from its previous $110 billion program [11] - Despite the disappointment, historical data shows that a smaller buyback does not preclude strong stock performance, as seen in 2019 [12][13] - Apple also announced a moderate 4% increase to its quarterly dividend alongside the buyback [14] Group 4: Arista Networks' Buyback Activity - Arista Networks announced a $1.5 billion share buyback program, with an additional $34 million from its previous authorization, totaling around 1.4% of its market capitalization [15] - The company spent $887 million on buybacks from the beginning of 2025 through April, indicating management's belief that its stock is significantly undervalued [16][17]

May 9, 2025 01:20 PM GMT BOE Technology | Asia Pacific | M | | | | --- | --- | --- | | | | Update | | May 9, 2025 01:20 PM GMT | | | | BOE Technology Asia Pacific | Morgan Stanley Taiwan Limited+ | | | | Derrick Yang Equity Analyst | | | China BEST Conference 2025 | Derrick.Yang@morganstanley.com | +886 2 2730-2862 | | | Vivi Huang | | | | Research Associate | | | Feedback | Vivi.Huang@morganstanley.com | +886 2 2730-2860 | | | Sharon Shih | | | | Equity Analyst | | | | Sharon.Shih@morganstanley.com | +886 ...

Group 1: Market Reaction - The U.S. stock market experienced a significant decline following the announcement of the "reciprocal tariffs" by President Trump, with all three major indices hitting their largest single-day drops in five years [2][4] - The Dow Index fell by 1,679.39 points, a decrease of 3.98%, marking its largest single-day drop since June 2020 [3][4] - The S&P 500 Index dropped by 1,050.44 points, down 4.84%, also the largest single-day decline since June 2020 [3][4] - The NASDAQ Index saw a decline of 5.97%, the largest drop since March 2020 [3][4] - Approximately $3.1 trillion in market value was wiped out in a single day, the largest loss since March 2020 [5] Group 2: Individual Stock Performance - Major companies faced severe stock price declines, with Apple Inc. down 9.25%, Meta Platforms Inc. down 8.96%, and Nike Inc. down 14.44% [6] - NVIDIA Corp. saw a decrease of 7.81%, while Tesla Inc. dropped by 5.47% [6] Group 3: Commodity Market Impact - Oil prices fell sharply, with WTI crude oil futures dropping over 7%, reaching their lowest level in three years [7] - Gold prices also experienced a decline, with COMEX gold down 0.89% on April 3, although it later recovered slightly [10] - Silver prices saw a significant drop of 7.86% on the same day [10] Group 4: European Market Response - European stock markets reacted negatively, with the FTSE 100 Index down over 1.5%, the CAC Index down over 3.3%, and the DAX Index down over 3% [10] - The European Union plans to implement countermeasures against the U.S. tariffs, with a vote scheduled for April 9 regarding a 25% tariff on steel and aluminum [12]