Tontitown-based carrier P.A.M. Transportation Services Inc. plans to repurchase up to 500,000 shares of its stock as share prices reach near-record levels.
According to a Friday (Nov. 5) news release, the company’s board of directors approved the repurchase, effectively immediately. The company’s stock repurchase program has been extended and expanded several times since the original authorization in 2011, and this reauthorization will be a replenishment of shares under the repurchase program.
“This reauthorization provides PAM with a valuable option when deciding how to best allocate capital and demonstrates the board’s confidence in our business model and future performance,” said Joe Vitiritto, president and CEO of P.A.M. Transportation Services.
The timing of stock repurchases and the number of shares to be repurchased will depend on market conditions and other factors, the release shows. Repurchases, if any, will be made at the discretion of management and using the company’s liquidity and free cash flow. Repurchases will take place or be suspended at the company’s discretion. They will be made in the open market, through 10b5-1 programs, block trades or in privately-negotiated transactions. The company’s stock repurchase program does not have an expiration date.
In August, the carrier said it would purchase 272,405 shares of its stock for more than $10.07 million. Since then, the company’s share price has nearly doubled.
Shares of P.A.M. (NASDAQ: PTSI) were trading Monday (Nov. 8) at $60.05, up 10 cents or 0.17%. In the past 52 weeks, the stock has ranged between $64.70 and $21.42.