Reap, don’t sow

Microsoft has shocked the market with its plans to buy back $20bn worth of its stock in a tender offer next month. The software giant has already returned $23bn to shareholders through dividends and stock buybacks over the past 12 months. And one can’t forget its $32bn special dividend two years ago. It’s pretty clear even the group itself now realises it is ex-growth. The decision is close to a no-brainer. Microsoft pulled in $13bn worth of free cash flow in the past 12 months. It has more tha...