NTT DOCOMO (BUE:DCM) 3-Year Share Buyback Ratio: 4.50% (As of Sep. 2020) — 73% Above Median

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

What is NTT DOCOMO 3-Year Share Buyback Ratio?

NTT DOCOMO BUE:DCM 10 3-Year Share Buyback Ratio is 4.50 as of Sep. 2020, which is 73% above its 10-year median of 2.60. GuruFocus rates BUE:DCM with a GF Score™ of 10/100. The stock has 5 warning signs investors should review.

Shares Outstanding (EOP) are shares that have been authorized, issued, and purchased by investors and are held by them.

3-Year Share Buyback Ratio measures the average annual proportion of a company's outstanding shares repurchased over the past three years. It is calculated as the annualized percentage change in shares outstanding from three years ago to the current year. A positive ratio may indicate share buybacks over the period, while a zero or negative ratio may reflect no repurchases or potential share issuance. NTT DOCOMO's current 3-Year Share Buyback Ratio was 4.50%.

The historical rank and industry rank for NTT DOCOMO's 3-Year Share Buyback Ratio or its related term are showing as below:

BUE:DCM' s 3-Year Share Buyback Ratio Range Over the Past 10 Years
Min: -1.6   Med: 2.6   Max: 5.9
Current: 4.5

During the past 13 years, NTT DOCOMO's highest 3-Year Share Buyback Ratio was 5.90%. The lowest was -1.60%. And the median was 2.60%.

BUE:DCM's 3-Year Share Buyback Ratio is not ranked
in the Telecommunication Services industry.
Industry Median: -0.35 vs BUE:DCM: 4.50

NTT DOCOMO (BUE:DCM) 3-Year Share Buyback Ratio Explanation

A negative number means the company might be issuing new shares. A positive number indicates that the company is buying back shares.

Be Aware

Investors usually like share buybacks. But as pointed by Warren Buffett, only if a company buys back shares at the prices below the stock's intrinsic value, it rewards remaining shareholders. If a company buys its overvalued stocks back, it destroys shareholder value.

NTT DOCOMO 3-Year Share Buyback Ratio Related Terms

BUE:DCM vs VZ, T, TMUS: 3-Year Share Buyback Ratio Comparison

For the Telecom Services subindustry, NTT DOCOMO's 3-Year Share Buyback Ratio, along with its competitors' market caps and 3-Year Share Buyback Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

NTT DOCOMO 3-Year Share Buyback Ratio vs Telecommunication Services Industry

For the Telecommunication Services industry and Communication Services sector, NTT DOCOMO's 3-Year Share Buyback Ratio distribution charts can be found below:

* The bar in red indicates where NTT DOCOMO's 3-Year Share Buyback Ratio falls into.


NTT DOCOMO 3-Year Share Buyback Ratio Calculation

This is the annualized percentage change in shares outstanding from three years ago to the current year. The annualized percentage change is calculated with expontential compound based on the latest four years of annual data on Shares Outstanding (EOP).

Please click Growth Rate Calculation Example (GuruFocus) to see how GuruFocus calculates Wal-Mart Stores Inc (WMT)'s revenue growth rate. You can apply the same method to get the average dividends per share growth rate.

What does a 3-Year Share Buyback Ratio of 4.50 mean?
NTT DOCOMO (BUE:DCM) has a 3-Year Share Buyback Ratio of 4.50 as of Sep. 2020. The 3-Year Share Buyback Ratio measures the average annual proportion of a company's outstanding shares repurchased over the past three years. It is calculated as the annualized percentage change in shares outstanding from three years ago to the current year. View historical data for NTT DOCOMO and its competitors. This is 73% above median its historical median of 2.60.
Is NTT DOCOMO's 3-Year Share Buyback Ratio too high?
NTT DOCOMO's current 3-Year Share Buyback Ratio of 4.50 is 73% above median its 10-year median of 2.60. Overall, NTT DOCOMO has a GF Score™ of 10/100, reflecting its overall financial health beyond just this single metric.
How does NTT DOCOMO's 3-Year Share Buyback Ratio compare to VZ and T?
NTT DOCOMO's 3-Year Share Buyback Ratio of 4.50 can be compared against companies in the Telecommunication Services industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 3-Year Share Buyback Ratio for a Telecommunication Services company?
A good 3-Year Share Buyback Ratio depends on the Telecommunication Services industry context. However, 3-Year Share Buyback Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high 3-Year Share Buyback Ratio mean?
A high 3-Year Share Buyback Ratio can signal that a stock is expensive relative to its fundamentals. The 3-Year Share Buyback Ratio measures the average annual proportion of a company's outstanding shares repurchased over the past three years. It is calculated as the annualized percentage change in shares outstanding from three years ago to the current year. View historical data for NTT DOCOMO and its competitors. NTT DOCOMO's current 3-Year Share Buyback Ratio is 4.50, which is 73% above median its own 10-year median of 2.60. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is NTT DOCOMO stock overvalued right now?
NTT DOCOMO (BUE:DCM) has a current 3-Year Share Buyback Ratio of 4.50. The current 3-Year Share Buyback Ratio is 4.50, which is 73% above median its 10-year median of 2.60. NTT DOCOMO's overall GF Score™ is 10/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 3-Year Share Buyback Ratio calculated?
3-Year Share Buyback Ratio is calculated from a company's financial statements. For NTT DOCOMO (BUE:DCM), the current 3-Year Share Buyback Ratio is 4.50 as of Sep. 2020. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

NTT DOCOMO Business Description

Address Sanno Park Tower, 11-1, Nagata-cho 2-chome, Chiyoda-ku, Tokyo, JPN, 100-6150
NTT DoCoMo is Japan's largest wireless telephone operator. It has 78 million subscribers, leading to its market share of approximately 44%. The firm has been a technological leader, introducing wireless Internet access through its i-mode service in 1999, along with the ability to use a handset like a credit card. NTT DoCoMo also owns minority stakes in Philippine Long Distance Telephone, Hutchison Telecom Hong Kong Holdings, and other smaller phone companies. The firm's objective is to have the highest-quality network and customer service in Japan.