15 Cannibal Stocks in the Quality Universe

With 5-year average annual buybacks above 2.0%

As we discussed in an article earlier this week, right here, betting on companies buying back their own shares, cannibals, can be interesting.

Some companies buy back more aggressively than others. The purpose of this article is to present some of the quality companies that buy back a significant portion of their capital each year.

Autozone

Expected yearly growth: 5.7%

5-year average annual buyback: 7.2%

Net profit margin: 14.2%

Leverage: 1.8x EBITDA

Discover Financial Services

Expected yearly growth: 4.4%

5-year average annual buyback: 6.1%

Net profit margin: 19.6%

Leverage: -

Apple

Expected yearly growth: 5.3%

5-year average annual buyback: 3.1%

Net profit margin: 25.5%

Cash: 0.2x EBITDA (no leverage)

Checkpoint Software

Expected yearly growth: 4.4%

5-year average annual buyback: 6.0%

Net profit margin: 34.8%

Cash: 2.9x EBITDA (no leverage)

Ulta Beauty

Expected yearly growth: 6.5%

5-year average annual buyback: 4.1%

Net profit margin: 11.3%

Cash: 0.4x EBITDA (no leverage)

Meta Platforms

Expected yearly growth: 13.0%

5-year average annual buyback: 2.3%

Net profit margin: 28.2%

Cash: 0.6x EBITDA (no leverage)