This morning, Thomson announced that it has resumed its buyback program, under which the company can repurchase up to 15 million of its common shares. The firm had temporarily halted repurchases before announcing its proposed acquisition of Reuters Group in May. Thomson reported that it still expects to receive regulatory clearance for the Reuters deal in the first quarter of 2008.
The shares of TOC has pulled back sharply with the rest of the market since hitting a near-term high of $47.26 on October 31. During this time frame, the equity has shed roughly 20% and is currently poised to close below its 10-month and 20-month moving averages for the first time since May 2005.
Meanwhile, Wall Street has yet to shed its bullish outlook for the firm. According to Zacks, 5 of the 7 analysts following the company rate it a buy or better, leaving ample room for potential downgrades.