The firm's analysts see potential for buybacks of up to $200 billion in the next three to four years, with a wider range of maturities affected in future years, beginning with the five-year note, Mr. Lucas said.
Based on recent results, a favorable industry outlook and potential stock buybacks, Ingersoll could beat near-term estimates.
Lest we forget, this includes the sale of its 40.8 per cent sale of the giant Citizens bank in the US (fetching perhaps $6bn) and, if you listen to some analysts, a potential £10bn share buyback in 2016.
But Pauley said the new allegations in an amended lawsuit "plausibly establish fraudulent conduct and a culpable state of mind as to all executive defendants" for allegedly concealing the buyback potential when certifying the bank's financials.
Another potential winner among the buyback stocks is Waltham, Mass.- based Hologic Inc. holx, a $115 million maker of X-ray bone densitometers used for diagnosing and monitoring osteoporosis.
Concern about potential losses tied to buybacks of home loans "is not based on fact," and reserves to protect the company against claims are adequate, the chief executive, Alan M. Bennett, said Thursday during a conference call about fiscal first-quarter earnings.
"Loan buybacks have the potential to cause the banking system to become undercapitalized once again or to cause individual large banks to fail," the report says, "even if that outcome is unlikely".
Cash and short-term investments are there for strategic investments, mergers and acquisitions, funding the company's stock buyback program and other potential large-scale cash needs".
"Net, a credit-card sale coupled with a more aggressive buyback campaign has the potential to be nicely accretive to earnings-per-share," he said.
