Align Technology notes that this is an accelerated stock repurchase agreement made with Citibank to acquire shares that it holds. Under this agreement, the company will get an initial amount of 1 million shares. The remaining number of shares will depend on the price of the stock at the time of repurchase.
Joe Hogan, President and CEO of Align Technology, said the following about the stock repurchase agreement:
“This latest $250 million ASR reflects our continued confidence in the long-term value of Align and our commitment to increasing shareholder value while balancing investments to drive growth as we transform the orthodontic industry.”
To go along with this share repurchase program, Hogan has also announced his plans to acquire more ALGN stock. The company’s CEO plans to purchase $1 million worth of ALGN shares.
ALGN Stock Movement
Investors will note that today’s news comes after shares of ALGN stock took a beating on Thursday. That followed the company’s release of its third-quarter earnings report.
The company missed both earnings per share and revenue estimates for the quarter. It also posted a weak 2023 revenue guidance that would see it missing estimates.
While the stock buyback isn’t enough to erase the 24.9% drop ALGN stock saw yesterday, the company’s shares are up 1.5% as of Friday morning.
Investors looking for more of the most recent stock market news today will want to keep reading!
InvestorPlace is home to all of the hottest stock market stories worth reading about on Friday! A few examples include what has shares of Roblox (NYSE:RBLX), PTC Therapeutics (NASDAQ:PTCT) and TransCode Therapeutics (NASDAQ:RNAZ) stock moving today. You can catch up on all of this news at the following links!
More Stock Market News for Friday
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- Why Is TransCode Therapeutics (RNAZ) Stock Down 25% Today?
On the date of publication, William White did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.