Discount retailer Target (NYSE:TGT) unveiled plans on Thursday to buy back an extra $5 billion of its shares and open shops within some of its stores, including a test project with Apple (NASDAQ:AAPL).
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The Minneapolis-based company, which has repurchased 22% of its outstanding shares since November 2007, said its board signed off on $5 billion in buybacks to begin once its $10 billion program ends early this year.
“We’re committed to maintaining Target’s long history of returning cash to shareholders through both dividends and share repurchase,” Doug Scovanner, Target’s chief financial officer, said in a statement.
Target also said it is aiming to post annual earnings per share of $8 and boost its dividend to at least $3.00 by 2017.
Meanwhile, in a presentation on Thursday in New York, Target announced plans to open shops inside its discount stores that will sell a range of items priced between $1 and $160, Reuters reported.
The company also confirmed rumors it will install special displays of Apple merchandise in 25 of its stores, the wire service reported. It’s not clear which stores will have the Apple displays or what products would sell.
Shares of Target gained 0.6% to $49.35 Thursday morning.