The board of directors of Murphy USA authorized Wednesday (Dec. 1) a new share repurchase program of up to $1 billion to begin upon completion of the current $500 million authorization and to be executed by December 31, 2026.
The new authorization is a continuation of the El Dorado-based retail and convenience store chain’s updated capital allocation strategy.
“In light of Murphy USA’s robust operating performance and ability to generate free cash flow on top of accelerated organic growth, we are pleased to reaffirm this piece of our value creation formula,” said President and CEO Andrew Clyde.
“Given that we are on track to execute the previously announced $500 million program nearly two years early, this new authorization is a testament to our advantaged business model and increasing confidence in the future of our company,” Clyde added. “This timeframe provides management added flexibility over a five-year window to prioritize high impact organic growth, while providing optionality around execution and preserving prudent liquidity.”
The timing and amount of any shares repurchased will be determined by the Company’s management based on its evaluation of market conditions and other factors.
Murphy USA stock (NYSE: MUSA) closed trading Wednesday at $175.45 per share. The company’s stock has traded between a low of $119.47 per share and a high of $187.55 per share over the past 52 weeks.