Targeting stocks with recently announced buyback programs can be beneficial for investors. Buyback programs can be seen as a signal of confidence by the company’s management in the future prospects of the business. When a company announces a buyback program, it indicates that it believes its stock is undervalued and that it has excess cash available to repurchase shares, which can be interpreted as a positive sign for investors. Buybacks can also potentially increase the value of the remaining shares by reducing the total number of shares outstanding, which could lead to higher earnings per share and potentially higher stock prices.
Here are three stock buybacks for the week –
Ashland Inc. – SYM: ASH
Recent Price: $87.99
Buyback Action: The Board of Directors authorized a new $1 billion share repurchase program, equal to around 23% of its market cap at announcement.
Description: Ashland Inc. provides additives and specialty ingredients worldwide. It operates through Life Sciences, Personal Care, Specialty Additives, and Intermediates segments. The company was formerly known as Ashland Global Holdings Inc. and changed its name to Ashland Inc. in August 2022. Ashland Inc. was founded in 1924 and is headquartered in Wilmington, Delaware.
Eco Wave Power Global AB – SYM: WAVE
Recent Price: $2.90
Buyback Action: The Board of Directors authorized a new 555K share repurchase program, equal to 10% of its market cap at announcement.
Description: Eco Wave Power Global AB (publ), a wave energy company, engages in the development of a wave energy conversion (WEC) technology that converts ocean and sea waves into clean electricity. It also operates a grid-connected wave energy array in Gibraltar under a power purchase agreement with the Government of Gibraltar and Gibraltar’s National Electric Company. The company also holds various agreements comprising power purchase agreements, concession agreements, and other agreements worldwide with pipeline of projects with approximately 404.7 megawatts. It has operations in Sweden, Israel, Gibraltar, Portugal, China, Australia, and Mexico. The company was formerly known as EWPG Holding AB (publ) and changed its name to Eco Wave Power Global AB (publ) in June 2021. Eco Wave Power Global AB (publ) was founded in 2011 and is headquartered in Tel Aviv-Yafo, Israel.
LightInTheBox Holding Co., Ltd. – SYM: LITB
Recent Price: $1.38
Buyback Action: The Board of Directors authorized a new $10 million share repurchase program, equal to around 7% of its market cap at announcement.
Description: LightInTheBox Holding Co., Ltd., together with its subsidiaries, operates as an online retailer that delivers products directly to its consumers worldwide. The company provides customized, special occasion, and fast fashion apparel products; and other general merchandise products, such as accessories and gadgets, home garden products, toys and hobbies, electronics and communication devices, and other products. It also offers supplier chain management, research and development, customer, marketing, logistics, warehouse management, and local delivery services, as well as engages in the product sourcing, marketing, and operation of its websites and mobile applications. LightInTheBox Holding Co., Ltd. was founded in 2007 and is based in Singapore.