IBM Corp. on Tuesday said its board approved an additional $10 billion in stock buybacks, representing nearly 6 percent of the computer company's outstanding shares.
IBM says the new buyback authorization adds to $2.3 billion remaining from a previous $8 billion authorization, issued in April.
The company also said it plans to request permission to buy even more shares at its next April board meeting.
IBM shares rose $1.07 to $140.91 in morning trading.
Companies often use buybacks to take advantage of low stock prices, but IBM's stock is close to its all-time high of $143.03, hit Oct. 18, just before it reported its third-quarter results.
IBM also said its board maintained the company's 65 cent quarterly dividend.
"IBM's higher value, higher margin business strategy has enabled the return of $91 billion since 2003 to our shareholders through share repurchases and dividends," Samuel J. Palmisano, IBM chairman, president and CEO, said in a statement.
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