Coursera authorized a $95 million stock buyback program last quarter, Q2 FY 2023, and these 19 other medium cap companies announced similar plans too
Buybacks
July 26, 2023
Coursera, Inc., Coursera's online learning platform, recently authorized a stock buyback program, allowing for the repurchase of up to $95 million of Coursera's common stock. The primary motivation behind this move is to counter the impact of share dilution resulting from one-time employee stock issuances granted in 2022. These grants were aimed at attracting, retaining, and motivating key talent within Coursera.
The decision to implement the stock buyback program demonstrates the confidence of Coursera's Board of Directors and Management in Coursera's business and the value they place on shareholder equity. CFO Ken Hahn emphasized that Coursera's capital allocation priorities are focused on long-term growth opportunities, and maintaining a strong balance sheet provides strategic flexibility and resilience to invest in Coursera's platform and lead the transformation of higher education.
Coursera, Inc. operates an educational content platform that connects learners, educators, and institutions worldwide. As of December 31, 2020, Coursera offered approximately 4,000 courses across a range of domains, including data science, technology, business, health, social sciences, and arts and humanities. Coursera had approximately 77 million learners registered on its platform; and 2,000 organizations, 4,000 academic institutions, and 300 government entities had used Coursera's platform to upskill and reskill their employees, students, and citizens. Coursera was formerly known as Dkandu, Inc. Coursera, Inc. was incorporated in 2011 and is headquartered in Mountain View, California.
Teekay Tankers Ltd. (NYSE:TNK) recently unveiled an updated capital allocation plan, broadening its existing priorities of maintaining a robust balance sheet and well-timed fleet reinvestments to now encompass returns of capital to Teekay Tankers' valued shareholders. This move reflects the Company's commitment to providing additional value and rewarding its investors.
In line with this commitment, Teekay Tankers has initiated a regular, fixed quarterly cash dividend of $0.25 per outstanding share of Class A and B common stock, with the first dividend slated for the first quarter of 2023. Additionally, the Board of Directors has declared a special cash dividend of $1.00 per outstanding share of Class A and B common stock. These dividends are scheduled for payment on June 2, 2023, to all common shareholders on record as of May 22, 2023, with future dividends subject to the Board's discretion.
Teekay Tankers has also taken a proactive step by authorizing a new stock buyback program, allowing for the buyback of up to $100 million worth of Teekay Tankers' outstanding Class A common shares. This flexible program permits repurchases through various methods, including open market purchases, privately-negotiated transactions, and other avenues approved by the U.S. Securities and Exchange Commission. The timing and number of shares to be repurchased under this program will be decided at Teekay Tankers' discretion.
Teekay Tankers Ltd. provides marine transportation services to oil industries in Bermuda and internationally. It operates through two segments, Tanker and Ship-to-ship Transfer (STS). Teekay Tankers offers voyage and time charter services; and offshore STS transfer services of commodities primarily crude oil and refined oil products, as well as liquid gases and various other products. It also provides tanker commercial and technical management, LNG terminal management, consultancy, procurement, and equipment rental services; and lightering support services, including full service lightering and other lightering support services. As of December 31, 2019, Teekay Tankers owned and leased 55 double-hull oil tankers, 2 ship-to-ship support vessels, and 9 time chartered-in tankers. Teekay Tankers' vessels are employed through a mix of short- or medium-term fixed-rate time charter contracts and spot tanker market trading. Teekay Tankers Ltd. was founded in 2007 and is based in Vancouver, Canada.
Navigator Holdings Ltd., a shipping company specializing in liquefied gas carriers, recently reported strong financial results for the first quarter of 2023. Operating revenue increased by 16.2% to $136.0 million compared to the same period in 2022. Net income was $18.8 million, representing a decrease of 31.2% from the previous year. Adjusted EBITDA reached a record $69.0 million, showing significant growth of 23.8% compared to the same quarter in 2022. Fleet utilization also improved, reaching 96.2% compared to 89.5% in 2022, and the average daily time charter equivalent rate rose to $25,620 from $22,933.
The company's decision to authorize a stock buyback and return capital to shareholders stems from the positive financial performance and outlook. The company completed a $50.0 million stock buyback plan in May 2023, buying back 3,809,947 common shares, amounting to around 4.9% of outstanding shares, at an average price of $13.12 per share. Additionally, the company announced a new return of capital policy that includes a new stock buyback plan of up to $25.0 million of Navigator Holdings' common stock. Furthermore, they plan to pay a quarterly cash dividend of $0.05 per share, representing 25% of net income for the applicable quarter.
Several factors contributed to the company's positive performance, including increased fleet utilization, improved charter rates, and a strong demand for shipping in the handysize LPG vessel segment. The geopolitical conflict around Ukraine disrupted traditional ammonia trade flows, increasing demand for handysize shipping. Additionally, the U.S. saw record volumes of LPG exports, leading to improved employment opportunities in the gas carrier segments. The continued demand for U.S. ethylene exports also contributed to the positive prospects of Navigator Holdings' ethylene capable vessels.
Navigator Holdings Ltd. owns and operates a fleet of liquefied gas carriers worldwide. The company provides international and regional seaborne transportation services of liquefied petroleum gas, petrochemical gases, and ammonia for energy companies, industrial users, and commodity traders. As of December 31, 2019, Navigator Holdings operated a fleet of 38 semi- or fully-refrigerated liquefied gas carriers. The company was founded in 1997 and is based in London, the United Kingdom.
ProPetro Holding Corp. (NYSE: PUMP) recently announced the approval of a $100 million stock buyback program by its Board of Directors. This move comes as ProPetro seeks to create value for its shareholders, building on the momentum of strong first-quarter earnings and three consecutive quarters of positive net income. These positive financial improvements are a result of successful execution of ProPetro's strategic initiatives.
Sam Sledge, the Chief Executive Officer, expressed confidence in ProPetro's current and future financial and operational performance, emphasizing the considerable discrepancy between ProPetro's equity value and robust financial results. The approved stock buyback program, which runs until May 31, 2024, allows ProPetro to repurchase up to $100 million of its outstanding common stock. This authorization represents approximately 13% of ProPetro's market capitalization based on the current share price.
ProPetro plans to approach the stock buyback opportunistically, considering market conditions, business outlook, capital position, and liquidity while maintaining a strong balance sheet. Moreover, ProPetro is open to exploring other strategic capital allocation methods beyond the announced repurchase program.
The stock buybacks will be conducted through various methods, such as open market transactions, block trades, accelerated stock buybacks, privately negotiated transactions, and potentially using a trading plan complying with Rule 10b5-1 under the Securities Exchange Act of 1934. ProPetro has the discretion to determine the timing, number, and value of shares repurchased, depending on various factors, including the intrinsic value of ProPetro's common stock, market conditions, available liquidity, compliance with agreements, and other investment opportunities.
ProPetro Holding Corp., an oilfield services company, provides pressure pumping and other related services. The company offers hydraulic fracturing services; and a suite of well completion and production services, including cementing, acidizing, coiled tubing, flowback, and drilling services. ProPetro serves the upstream oil and gas companies engaged in the exploration and production of North American unconventional oil and natural gas resources in the Permian Basin. As of December 31, 2019, ProPetro's fleet comprised 24 hydraulic fracturing units with 1,469,000 hydraulic horsepower. ProPetro Holding Corp. was founded in 2007 and is headquartered in Midland, Texas.
Core & Main Inc., a leading provider of reliable infrastructure solutions with a nationwide presence, has recently announced an underwritten secondary public offering of 14 million shares of its Class A common stock by certain selling stockholders. It's important to note that Core & Main itself is not offering any shares in this offering, and therefore, it will not receive any proceeds from it. The completion of this offering is subject to market and other conditions, and there is no guarantee of when or if it will be completed.
Alongside the offering, Core & Main has authorized a stock buyback and redemption of 3,125,728 shares of its Class A common stock and 1,874,272 partnership interests of its subsidiary, Core & Main Holdings, LP. The buyback will occur at the same per-share price as the offering, and it is subject to the offering's closure. However, the closing of the offering does not depend on the completion of the stock buyback.
Core & Main, Inc. is a leading distributor of water, wastewater, storm drainage, and fire protection products and services in the United States. With a rich history since its founding in 1874, Core & Main supplies a wide range of products including castings, fittings, pipes, valves, pumps, and more, catering to municipalities, private water companies, and professional contractors in the municipal, non-residential, and residential markets. Their comprehensive offerings also extend to metering and technology solutions, treatment plant solutions, storm drain solutions, and fusible piping solutions. Core & Main's specialty products and services play a crucial role in maintaining, repairing, replacing, and constructing water and fire protection infrastructure, serving the needs of new construction and aging infrastructure projects alike. Headquartered in St. Louis, Missouri, Core & Main operates through its branches and supply chain, serving various industries including waterworks, fire protection, landfill, and erosion and geotextiles.
Trex Company, Inc., the leading brand in eco-friendly composite decking and outdoor living products, recently announced its first-quarter 2023 results, reporting net sales of $239 million and a gross margin of 39.6%. Despite a decrease in volume due to cautious purchase patterns in the face of economic softening, Trex continued to demonstrate its market leadership and generate industry-leading margins and profitability.
The CEO, Bryan Fairbanks, attributed their success to the broad appeal of Trex's products and the ongoing popularity of outdoor living solutions. Trex invested in research and development to drive long-term growth and introduced innovative new products that received positive feedback from consumers and partners. They also highlighted their plants' ability to flex production based on demand, achieving a sequential increase in gross margin even during a period of lower utilization.
Trex's recent recognitions in sustainable product categories and as America's Most Trusted Composite Decking brand further strengthen its position in the market. Due to their financial and operating strength, the Trex Board of Directors authorized a stock buyback program of up to 10.8 million shares of its outstanding common stock, demonstrating their confidence in Trex's long-term growth prospects.
Looking ahead, Trex expects second-quarter 2023 net sales to be in the range of $310 million to $320 million and a full-year 2023 EBITDA margin in the range of 26% to 27%. Their focus remains on driving operating efficiencies and completing the construction of their Arkansas facility to meet demand trends.
Trex Company, Inc. is a leading manufacturer and distributor of wood and plastic composite products in the US. Their product range includes protective shells for decking and railing applications, hidden fastening systems, LED deck lighting, railing products, fencing solutions, steel deck framing systems, and various outdoor accessories. They also license their brand for other products like outdoor furniture, deck drainage systems, custom bending tools, pergolas, and more. With a wide distribution network encompassing wholesale distributors, retail lumber dealers, Home Depot, Lowe's, and direct sales, Trex has been a prominent player in the industry since its founding in 1996, with headquarters in Winchester, Virginia.
Cactus, Inc. has recently announced its decision to authorize a stock buyback of up to $150 million in Cactus, Inc.'s Class A common stock. The company's President and CEO, Scott Bender, expressed excitement about this move, stating that it reflects Cactus, Inc.'s confidence in stronger cash generation from both the Cactus and FlexSteel businesses throughout industry cycles, which they believe is not fully reflected in Cactus, Inc.'s current equity value. This decision comes after the company released an updated investor presentation, projecting better-than-expected results for Q2 2023 in both segments, despite a predicted decline in the U.S. onshore rig count.
The stock buyback program provides Cactus, Inc. with the flexibility to repurchase shares through various methods, such as open market transactions, block trades, privately negotiated deals, or using trading plans permitted under U.S. securities laws. This approach allows the company to make discretionary repurchases based on factors like economic and market conditions, available cash, legal requirements, and other relevant considerations.
Cactus, Inc. designs, manufactures, sells, and rents a range of wellheads and pressure control equipment. The company's principal products include Cactus SafeDrill wellhead systems, Cactus SafeLink systems, frac stacks, zipper manifolds, and production trees. Cactus, Inc. also provides field services, such as 24-hour service crews to assist with the installation, maintenance, repair, and safe handling of the wellhead and pressure control equipment. The company sells or rents its products for onshore unconventional oil and gas wells that are utilized during the drilling, completion, and production phases of its customers' wells. Cactus, Inc. operates 14 service centers in the United States, as well as 3 service centers in Eastern Australia. Cactus, Inc. was founded in 2011 and is headquartered in Houston, Texas.
Orion Engineered Carbons S.A. (OEC), a leading global specialty chemicals company, has recently authorized a new stock buyback program to buy back approximately 6.9 million of OEC's outstanding common stock. This decision comes as part of the company's focus on utilizing its cash flow to support growth and productivity initiatives, while also maintaining debt within OEC's target range. The company believes this move will provide compelling returns for shareholders, in addition to supporting long-term earnings power.
The stock buyback program is set to be active until June 2027 and, when combined with the soon-to-be-completed previous repurchase authorization, Orion Engineered Carbons has the potential to buy back up to 15 percent of its outstanding shares. The company plans to make these repurchases through open market purchases or public tender offers, following the applicable securities laws and other restrictions.
Orion Engineered Carbons S.A. is a global leader in the production and sale of carbon black products, operating in multiple countries across the globe. With two primary segments, Specialty Carbon Black and Rubber Carbon Black, the company offers a diverse range of post-treated specialty carbon black grades for various applications, including coatings, printing, and fiber industries, as well as conductive carbon black grades used in polymer, silicon, and other applications. Additionally, Orion provides rubber carbon black products under the PUREX and ECORAX brands for mechanical rubber goods and tire applications. Established in 2011 and headquartered in Houston, Texas, the company has a strong presence in key markets worldwide.
Matson, Inc. (MATX), a leading U.S. carrier in the Pacific, recently authorized a stock buyback of an additional three million shares to its existing nine million stock buyback program. This extension, valid until December 31, 2025, comes as of April 26, 2023, with approximately 0.7 million shares remaining in the current program. The decision to authorize a stock buyback was fueled by Matson, Inc.'s commitment to disciplined and opportunistic capital allocation, aiming to create additional shareholder value in the long run.
Matson's Chairman and CEO, Matt Cox, expressed satisfaction with the decision, stating that since the inception of the stock buyback program in August 2021, the company has already repurchased around 8.3 million shares, totaling nearly $650 million. Going forward, they will continue to assess the capital needs of the business, market conditions, and the common share price to strategically repurchase shares in the open market as part of their buyback program.
The stock buyback announcement comes alongside the declaration of a steady quarterly cash dividend of $0.31 per common share, set to be paid on June 1, 2023, to all shareholders of record as of May 11, 2023. With this move, Matson, Inc. showcases its dedication to both returning excess cash to shareholders and optimizing capital allocation for long-term value creation. As the company remains committed to enhancing shareholder value, investors may keep a close eye on the stock's performance and its stock buyback prospects in the future.
Matson, Inc. and its subsidiaries offer ocean transportation and logistics services. The Ocean Transportation segment provides freight transportation to Hawaii, Alaska, Guam, Micronesia, and other islands. They transport various commodities, including dry containers, refrigerated goods, packaged foods, automobiles, and more. The segment also offers expedited services and terminal services to ocean carriers. The Logistics segment offers transportation brokerage, freight forwarding, warehousing, distribution, and supply chain management services, catering to diverse clients such as the U.S. military, retailers, and automobile manufacturers. As of December 31, 2019, the company had 42 full service banking locations, including 32 in the Louisville metropolitan statistical area (MSA), 5 in Indianapolis MSA, and 5 in Cincinnati MSA. Matson, Inc. was founded in 1882 and is headquartered in Honolulu, Hawaii.
Stock Yards Bancorp, Inc. (SYBT), the parent company of Stock Yards Bank & Trust Company, recently made an important move by authorizing a stock buyback program. This decision was part of the extension of the Company's Stock Repurchase Plan, which now has an expiration date set for May 22, 2025. The initial plan, launched on May 22, 2019, allowed the repurchase of one million shares, of which approximately 259,000 shares have been bought back so far at an average cost of $35.41 per share. There are still around 741,000 eligible shares remaining to be repurchased.
The stock buyback authorization is a strategic move that provides several benefits for Stock Yards Bancorp and its shareholders. By repurchasing its own shares, the company aims to signal confidence in its financial health and future prospects, potentially bolstering investor sentiment. Additionally, a reduced number of outstanding shares can lead to an increase in earnings per share, which could attract more investors and enhance shareholder value.
Recent positive developments and strong financial performance may have contributed to the company's decision to extend the stock buyback program. Notably, the declaration of a steady quarterly cash dividend of $0.29 per common share reinforces Stock Yards Bancorp's commitment to returning value to its shareholders.
Stock Yards Bancorp, Inc. operates as the holding company for Stock Yards Bank & Trust Company that provides commercial and personal banking services in Louisville, Indianapolis, and Cincinnati. Its deposit products include demand deposits, savings deposits, money market deposits, and time deposits. The company's loan portfolio comprises commercial and industrial, construction and development, undeveloped land, real estate mortgage, and consumer loans. In addition, it offers securities brokerage services through an arrangement with a third-party broker-dealer; and financial planning, investment management, retirement planning, trust, and estate services. As of December 31, 2019, the company had 42 full service banking locations, including 32 in the Louisville metropolitan statistical area (MSA), 5 in Indianapolis MSA, and 5 in Cincinnati MSA. Stock Yards Bancorp, Inc. was founded in 1904 and is headquartered in Louisville, Kentucky.
Asbury Automotive Group, Inc. (ABG), a leading automotive retail and service company in the U.S., recently authorized a stock buyback of up to $250 million shares of Asbury Automotive Group, Inc.'s common stock. The decision was approved by Asbury Automotive Group, Inc.'s board of directors as part of their capital allocation strategy. The management believes that they are responsible stewards of capital and regularly assess various uses of Asbury Automotive Group, Inc.'s funds to maximize shareholder returns over the long term.
The buyback authorization comes after Asbury Automotive Group, Inc. fully utilized its prior stock repurchase program opportunistically. This new authorization reflects their renewed commitment to this approach, supported by strong cash flow and a healthy balance sheet. Year-to-date 2023, Asbury Automotive Group, Inc. has already repurchased approximately 1.1 million shares for about $211 million, indicating their commitment to returning value to shareholders.
Asbury Automotive Group, Inc., together with its subsidiaries, operates as an automotive retailer in the United States. It offers a range of automotive products and services, including new and used vehicles; and vehicle repair and maintenance services, replacement parts, and collision repair services. Asbury Automotive Group, Inc. also provides finance and insurance products, including arranging vehicle financing through third parties; and aftermarket products, such as extended service contracts, guaranteed asset protection debt cancellation, prepaid maintenance, and credit life and disability insurance. As of December 31, 2019, Asbury Automotive Group, Inc. owned and operated 107 new vehicle franchises representing 31 brands of automobiles at 88 dealership locations; and 25 collision centers in the United States. Asbury Automotive Group, Inc. was founded in 1996 and is headquartered in Duluth, Georgia.
WillScot Mobile Mini Holdings Corp., a leading North American provider of flexible space and storage solutions, recently announced that its Board of Directors has authorized a stock buyback program worth $1.0 billion as of May 3, 2023. This decision comes as WillScot Mobile Mini Holdings Corp.'s cash flow has been consistently accelerating. The buyback is part of WillScot Mobile Mini Holdings Corp.'s capital allocation framework, which was introduced during its November 2021 Investor Day.
According to Brad Soultz, the Chief Executive Officer, WillScot Mobile Mini Holdings Corp. has a clear plan for its capital allocation. First and foremost, they will continue to invest in their organic growth trajectory, supported by a portfolio of idiosyncratic growth levers worth $1 billion. Secondly, they will focus on smart and highly accretive acquisitions. And finally, the remaining capital will be allocated towards maintaining leverage and providing returns to shareholders.
In the past 12 months leading up to March 31, 2023, WillScot Mobile Mini Holdings Corp. has already repurchased 22.4 million of its common shares for $895 million. This represents a significant 9.5% reduction in their economic share count, delivering powerful economic returns for their shareholders. Given the success of their previous buybacks and the confidence in their capital allocation strategy, the Board of Directors proactively decided to replenish the authorization for further stock buybacks.
Willscot Mobile Mini Holdings Corp., formerly WillScot Corp., is a provider of modular space and portable storage solutions. The Company together the WillScot and Mobile Mini brands operate approximately 375 locations across the United States, Canada, Mexico, and the United Kingdom with a combined fleet of over 350,000 portable offices and storage containers. The Company’s WILLSCOT is a provider of modular space solutions and Mobile Mini Solutions is a provider of portable storage solutions. They lease office space and storage solutions for temporary applications across a diverse customer base in the commercial and industrial, construction, retail, education, health care, government, transportation, security, and energy sectors.
Commvault, a leading data management company, recently released its financial results for the fourth quarter and fiscal year ending March 31, 2023. Despite facing challenges in the fourth quarter with a slight decrease in total revenues compared to the previous year, Commvault remained optimistic about its future prospects. The CEO, Sanjay Mirchandani, expressed confidence in Commvault's growth, highlighting the success of their Metallic as-a-service offerings and solid cash flow.
In response to their financial performance and a belief in their future, Commvault authorized a stock buyback program during the fourth quarter of fiscal 2023. They repurchased approximately 1.0 million shares, amounting to $60.8 million at an average price of $60.76 per share. Over the full fiscal year, Commvault repurchased around 2.5 million shares, totaling $150.9 million. The Board of Directors approved an increase in the stock buyback program, making $250.0 million available for future buybacks, indicating their confidence in Commvault's value and long-term potential.
The decision to authorize the stock buyback may have been influenced by several factors. Despite the challenges in the fourth quarter, Commvault's annualized recurring revenue (ARR) saw a notable 15% year-over-year growth, primarily driven by the success of their Metallic as-a-service offerings. Additionally, operating cash flow remained strong, with deferred revenue growth from Metallic as-a-service offerings serving as a significant cash flow driver.
Commvault Systems, Inc. is a leading provider of data protection and information management software applications and services worldwide. Their offerings include Commvault Complete Backup & Recovery, a comprehensive solution for enterprise backup and recovery needs, and Commvault HyperScale Technology, an add-on that delivers cloud-like infrastructure for on-premises scale-out secondary storage support. Additionally, Commvault offers Commvault Orchestrate, an automated service delivery technology facilitating data provisioning, synchronization, and validation for disaster recovery testing, development testing operations, and workload migrations. Commvault Venture – Hedvig provides a storage platform with multi-protocol support for block, file, and object storage, integrated with various applications, hypervisors, containers, and clouds. The company also presents Commvault Venture – Metallic, a software-as-a-service backup and recovery solution, along with Commvault Activate, enabling customers to comply with privacy regulations. Commvault serves diverse industries, including banking, insurance, government, healthcare, technology, manufacturing, utility, and energy, delivering their software and services directly to enterprises, SMBs, and government agencies, as well as through a network of partners and resellers. Established in 1988, Commvault Systems, Inc. is headquartered in Tinton Falls, New Jersey.
Cytek Biosciences, Inc., a prominent cell analysis solutions company, recently authorized a stock buyback of up to $50 million of Cytek Biosciences, Inc. common stock. The decision was approved by Cytek Biosciences, Inc.'s Board of Directors and is listed on The Nasdaq Global Select Market under the symbol "CTKB." The repurchase program will be ongoing until the end of the fiscal year unless modified or shortened by Cytek Biosciences, Inc.'s Board.
The stock buyback will be executed through open market transactions and/or privately negotiated deals, adhering to the Securities and Exchange Commission's Rule 10b-18 and other applicable legal requirements. The amount and timing of repurchases will be influenced by factors such as available liquidity, cash flow, and prevailing market conditions. It's essential to note that the program doesn't compel Cytek Biosciences, Inc. to acquire any specific amount of its common stock, and it retains the flexibility to modify or suspend the program as needed.
Cytek Biosciences, Inc. engages in the manufacture and sale of cell analysis solutions for clinical and biomedical research in the fields of drug discovery, genomics, immuno-oncology, immuno-profiling, infectious diseases, inflammatory diseases, and multi-site standardization applications. Its instruments include the Aurora and Northern Lights systems, which are flow cytometers to deliver cell analysis by utilizing the fluorescence signatures from multiple lasers to distinguish fluorescent tags on single cells. Cytek Biosciences, Inc. also offers cFluor reagents, which are fluorochrome conjugated antibodies used to identify cells of interest for analysis on its instruments. Its customers include pharmaceutical and biopharma companies, academic research centers, and clinical research organizations. Cytek Biosciences, Inc. distributes its products through a direct sales force and support organizations in North America, Europe, China, and the Asia-Pacific region; and through distributors or sales agents in European, Latin American, the Middle Eastern, and the Asia-Pacific countries. Cytek Biosciences, Inc. was formerly known as Cytoville, Inc. and changed its name to Cytek Biosciences, Inc. in August 2015. The company was incorporated in 2014 and is headquartered in Fremont, California.
Peabody, a leading coal producer, has recently authorized a stock buyback program as part of Peabody Energy Corporation's new shareholder return framework. The Board of Directors has approved a plan that includes a fixed quarterly cash dividend and a variable quarterly cash dividend component, along with a stock buyback plan. The new stock buyback program allows for up to $1.0 billion of Peabody Energy Corporation common stock to be bought back.
The decision to authorize a stock buyback comes after Peabody Energy Corporation achieved several financial milestones, including eliminating all senior secured debt and fully pre-funding estimated final reclamation costs. These achievements, coupled with strong execution of operating plans and favorable market conditions, have prompted Peabody Energy Corporation to return value to shareholders. By allocating at least 65 percent of annual Available Free Cash Flow (AFCF) to shareholders, Peabody Energy Corporation aims to reward investors while continuing to invest in long-term growth projects and maintaining a strong balance sheet.
The shareholder return program is expected to begin in the second quarter of 2023, with a regular quarterly cash dividend of $0.075 per share and the remaining AFCF to be returned through stock buybacks. Peabody Energy Corporation plans to transition to a more balanced shareholder return program later in the year, incorporating fixed quarterly cash dividends and variable dividends alongside stock buybacks.
Additionally, Peabody Energy Corporation amended its surety agreement, limiting collateral exposure and removing other restrictions, to strengthen its financial outlook. The amended agreement with the surety partners ensures the proper restoration of Peabody Energy Corporation lands and enhances the company's financial resiliency through future market cycles.
Peabody Energy Corporation engages in the coal mining business. The company operates through Seaborne Thermal Mining, Seaborne Metallurgical Mining, Powder River Basin Mining, Midwestern U.S. Mining, Western U.S. Mining, and Corporate and Other segments. It is involved in mining, preparation, and sale of thermal coal primarily to electric utilities; mining bituminous and sub-bituminous coal deposits; and mining metallurgical coal, such as hard coking coal, semi-hard coking coal, semi-soft coking coal, and pulverized coal injection coal. Peabody Energy Corporation supplies coal primarily to electricity generators, industrial facilities, and steel manufacturers. As of December 31, 2019, Peabody Energy Corporation owned interests in 21 coal mining operations located in the United States and Australia; and had approximately 3.6 billion tons of proven and probable coal reserves and approximately 500,000 acres of surface property through ownership and lease agreements. The company also engages in direct and brokered trading of coal and freight-related contracts, as well as provides transportation-related services, which involve financial derivative contracts and physical contracts. Peabody Energy Corporation was founded in 1883 and is headquartered in St. Louis, Missouri. On April 13, 2016, Peabody Energy Corporation and its subsidiaries filed a voluntary petition for reorganization under Chapter 11 in the United States Bankruptcy Court for the Eastern District of Missouri.
Archrock, Inc. (AROC), a leading player in the compression market, has recently authorized a new $50 million stock buyback program, termed the "2023 Share Repurchase Program." This move comes alongside the declaration of a quarterly dividend of $0.15 per share of common stock, highlighting Archrock, Inc.'s commitment to increasing shareholder returns.
The decision to authorize the stock buyback can be attributed to Archrock, Inc.'s confidence in its strong financial outlook and the rapid tightening in compression market fundamentals. As Brad Childers, the President and CEO of Archrock, Inc., stated, the company aims to supplement its attractive quarterly dividend with this program, as well as capitalize on any potential market dislocations opportunistically. Additionally, as the path to achieving a leverage ratio below 4.0 times in the current year becomes clearer, Archrock, Inc. seeks to utilize the stock buyback program as a capital allocation tool to further enhance shareholder value.
With projected significant earnings power and cash flow growth ahead, Archrock, Inc. remains optimistic about its future prospects. The 2023 Share Repurchase Program allows the company the flexibility to repurchase its common stock periodically until April 27, 2024, in line with applicable federal securities laws. The actual timing, manner, number, and value of shares repurchased will be at the discretion of Archrock, Inc.
Archrock, Inc. operates as a midstream energy infrastructure company in the United States. It operates in two segments, Contract Operations and Aftermarket Services. The company offers natural gas compression services to customers in the oil and natural gas industry. Archrock, Inc. also provides various aftermarket services, such as parts and components; and operation, maintenance, overhaul, and reconfiguration services to customers who own compression equipment. The company was formerly known as Exterran Holdings, Inc. and changed its name to Archrock, Inc. in November 2015. Archrock, Inc. was founded in 1990 and is headquartered in Houston, Texas.
Ashland Inc., a global additives and specialty ingredients company, has provided an update on its preliminary fiscal 2023 third-quarter financial results, which reflect customer de-stocking across various markets and uncertainty about when this will end. The company's sales for the quarter are expected to be in the range of $545 million to $550 million, down approximately 15 percent compared to the prior-year period, while projected Adjusted EBITDA is expected to be in the range of $130 million to $135 million, down approximately 22 – 25 percent from the prior year. Due to the challenging market conditions, Ashland Global Holdings Inc.'s Board of Directors has authorized a new $1 billion evergreen stock buyback program to maximize shareholder value. This decision replaces the previous $500 million authorization and aligns with Ashland Global Holdings Inc.'s objectives to focus on controllable factors to improve performance and capitalize on longer-term growth opportunities.
Ashland Global Holdings Inc.'s decision to authorize a $1 billion stock buyback comes amid ongoing customer de-stocking, macroeconomic uncertainty, and limited visibility into global consumer demand. The company acknowledges the significant impact of customer de-stocking actions on various markets and emphasizes that the duration of this de-stocking remains uncertain. Despite the near-term challenges, Ashland Global Holdings Inc. is committed to its longer-term priorities, including disciplined capital allocation and focusing on innovation-driven growth opportunities.
Ashland Global Holdings Inc. provides specialty chemical solutions worldwide. The company's Specialty Ingredients segment offers products, technologies, and resources for solving formulation and product-performance challenges. It provides solutions using natural, synthetic, and semisynthetic polymers derived from cellulose ethers, vinyl pyrrolidones, acrylic polymers, polyester and polyurethane-based adhesives, and plant and seed extracts. Ashland Global Holdings Inc.'s Intermediates and Solvents produces 1,4 butanediol and related derivatives, including n-methylpyrrolidone that are used as chemical intermediates in the production of engineering polymers and polyurethanes, as well as specialty process solvents used in electronics, pharmaceuticals, water filtration membranes, and others. The company was formerly known as Ashland Inc. and changed its name to Ashland Global Holdings Inc. in September 2016. Ashland Global Holdings Inc. was founded in 1924 and is headquartered in Covington, Kentucky.
In an effort to bolster shareholder value and demonstrate confidence in its financial position, Boyd Gaming Corporation (BYD) recently made a strategic move by authorizing a stock buyback program. Boyd Gaming Corporation's Board of Directors has given the green light for an additional $500 million in stock buybacks, adding to the existing program. This decision comes as the company still had approximately $633 million remaining in repurchase authority as of March 31, 2023.
This stock buyback authorization is a clear indication that Boyd Gaming Corporation believes its shares are undervalued, and it presents an attractive opportunity for the company to invest in itself. By repurchasing its own stock, Boyd Gaming Corporation aims to reduce the number of outstanding shares, which can increase earnings per share and potentially boost the stock's value in the long term.
Furthermore, the company's declaration of a quarterly cash dividend of $0.16 per share reinforces its commitment to rewarding shareholders. By returning value to investors through dividends and buybacks, Boyd Gaming Corporation aims to instill confidence and retain investor interest.
Boyd Gaming Corporation, together with its subsidiaries, operates as a multi-jurisdictional gaming company. It operates through three segments: Las Vegas Locals, Downtown Las Vegas, and Midwest & South. As of October 26, 2020, the company operated 29 gaming entertainment properties located in Nevada, Illinois, Indiana, Iowa, Kansas, Louisiana, Mississippi, Missouri, Ohio, and Pennsylvania. Boyd Gaming Corporation also engages in owning and operating a travel agency. The company was founded in 1975 and is headquartered in Las Vegas, Nevada.
National Bank Holdings Corporation (NBHC) recently made two significant announcements regarding shareholder value. Firstly, the company approved a 4.0% increase in its cash dividend, raising it from twenty-five cents ($0.25) to twenty-six cents ($0.26) per share of common stock. This decision reflects the company's strong financial position and impressive earnings in the first quarter of 2023, which has allowed National Bank Holdings Corporation to offer more attractive returns to shareholders.
Secondly, NBHC's Board of Directors authorized a stock buyback program, allowing the repurchase of up to $50.0 million of the company's common stock. This buyback program replaces the previously authorized one in its entirety. The move to authorize a stock buyback is often indicative of the company's belief in the value of its own shares and confidence in its future performance. By repurchasing its own stock, National Bank Holdings Corporation aims to reduce the number of outstanding shares in the market, potentially increasing the value of each remaining share and enhancing shareholder value.
National Bank Holdings Corporation is a US-based bank holding company providing a wide range of banking products and financial services to commercial, business, and consumer clients. Their offerings include various deposit products, commercial and industrial loans, non-owner occupied commercial real estate loans, small business administration loans, residential real estate loans, consumer loans, and treasury management solutions. With a network of 97 banking centers and 127 ATMs located across Colorado, the greater Kansas City area, New Mexico, Utah, and Texas, National Bank Holdings Corporation has been serving its customers since its incorporation in 2009, with its headquarters in Greenwood Village, Colorado.
Armada Hoffler Properties, Inc. (AHH) recently made an exciting announcement regarding its financial strategy. The company's Board of Directors has authorized a stock buyback program, empowering Armada Hoffler Properties, Inc. to buy back a total of $50 million of its common stock and Series A preferred stock. This decision reflects the company's confidence in its financial position and its commitment to creating value for shareholders.
The authorized stock buyback allows Armada Hoffler Properties, Inc. to repurchase its shares through various methods, such as open market purchases, block purchases, privately negotiated transactions, or by using trading plans compliant with Rule 10b5-1. This flexibility ensures that Armada Hoffler Properties, Inc. can employ suitable strategies to optimize the buyback process and make well-informed decisions based on business conditions, economic trends, prevailing stock prices, and regulatory requirements.
The stock buyback program is not a binding commitment for Armada Hoffler Properties, Inc., as it retains the discretion to suspend or discontinue the program at any time. This further highlights the company's responsible approach towards capital allocation, as it will consider various factors, including alternative uses for capital, prevailing market conditions, and regulatory considerations.
Armada Hoffler Properties, Inc. is a Virginia-based real estate company specializing in the development, ownership, and management of institutional-grade office, retail, and multifamily properties in the Mid-Atlantic and Southeastern United States. With a diverse portfolio and over 156 full-time employees, Armada Hoffler Properties, Inc. also engages in joint ventures with unaffiliated partners and offers general contracting services to third parties. Their expertise spans various property types, including office buildings, retail centers, apartments, hotels, industrial facilities, educational and medical buildings, government projects, and mixed-use town centers.
All data was sourced from LevelFields AI
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