CLEARWATER, Fla. - MarineMax, Inc. (NYSE: HZO), renowned as the world's largest recreational boat and yacht retailer, announced today that its Board of Directors has authorized a new stock repurchase program. The company is now permitted to buy back up to $100 million of its common stock, starting immediately and continuing until March 31, 2026.
This new initiative supersedes the previous plan from March 2020, which was due to expire at the end of March 2024 and had allowed for the repurchase of up to 10 million shares. As of March 5, 2024, around 1,080,000 shares had been bought back under the 2020 plan. With approximately 22,299,588 shares of common stock outstanding as of the same date, the new repurchase program aims to offset the dilutive impact of restricted stock issuance.
The timing and volume of the repurchases under the new program will be contingent on market conditions, including the stock's price and availability. MarineMax plans to execute these repurchases on the open market or through privately negotiated transactions.
MarineMax operates over 130 locations worldwide, including 83 dealerships and 66 marina and storage facilities. The company's portfolio includes a variety of integrated businesses such as IGY Marinas, Fraser Yachts Group, Northrop (NYSE:NOC) & Johnson, Cruisers Yachts, and Intrepid Powerboats. MarineMax also offers financing, insurance, and digital technology products, and operates MarineMax Vacations in the British Virgin Islands.
This news is based on a press release statement from MarineMax, Inc.
InvestingPro Insights
As MarineMax, Inc. (NYSE: HZO) embarks on its new stock repurchase program, the company's financial health and market performance are critical factors for investors to consider. With a market capitalization of $672.33 million and trading at an earnings multiple of 7.31, the company appears to be valued conservatively relative to its earnings. This is further reflected in the adjusted P/E ratio for the last twelve months as of Q1 2024, standing at 7.39.
InvestingPro Tips for MarineMax highlight that the company is trading at a low earnings multiple, which could be seen as an opportunity for value investors. However, analysts have also revised their earnings projections downwards for the upcoming period, signaling potential headwinds. Moreover, the stock has experienced significant volatility recently, with a price drop of 7.83% in the last week alone, pointing to a potentially turbulent market sentiment around the stock.
For those looking to delve deeper into MarineMax's financials and stock performance, additional InvestingPro Tips are available, including insights on the company's debt situation, cash burn rate, and net income projections. There are 11 more InvestingPro Tips listed for MarineMax on InvestingPro, providing a comprehensive analysis for potential investors.
Investors considering taking advantage of the new stock repurchase program or evaluating the company's prospects may benefit from an InvestingPro subscription. Use the coupon code PRONEWS24 to get an extra 10% off a yearly or biyearly Pro and Pro+ subscription, which includes access to a wealth of financial data and expert analysis to inform your investment decisions.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.