Sony Shares Up on $1.7 Billion Buyback

The stock price of Sony Group increased by 3.5% on Wednesday after the company declared a 250 billion yen ($1.7 billion) share repurchase program and achieved Q4 operating income of 203.6 billion yen which exceeded LSEG’s 192.2 billion yen forecast even though the company experienced an 11% decline in yearly performance. The buyback program has a maximum value of 250 billion yen while Sony plans to separate its financial unit through dividend distributions that will give shareholders more than 80% of the shares before listing the company this year. The 2026 operating profit forecast of 1.28 trillion yen from Sony fell short of analyst expectations at 1.5 trillion yen because the company did not factor in the US-China trade truce which would reduce tariffs by 30% and 10%. The electronics and gaming and entertainment segments of Sony face trade volatility because Trump’s policies create cost challenges. The economic slowdown combined with a 0.3% Q1 US contraction and consumer caution at 60% delay purchases creates additional pressure. The buyback demonstrates confidence yet weak guidance and uncertain tariffs reduce market optimism because Sony operates in a volatile global market while using PlayStation and financial restructuring strategies.