Piper Sandler Reveals Plan to Repurchase $150M Common Stock

Piper Sandler Companies (PIPR) revealed that its Board of Directors has approved a new common stock repurchase program of up to $150 million. The plan comes with an expiration date of December 31, 2023.

The investment bank and asset management firm operates through the Capital Markets and Asset Management segments. (See Piper Sandler stock chart on TipRanks)

The new program will come into effect from January 1, 2022, after the company’s previous $150 million repurchase authorization expires on December 31, 2021.

According to the company, the share repurchase program will be used as part of its capital allocation strategy. Under the strategy, the company seeks to return capital to shareholders and offset the dilutive effect of employee equity-based compensation.

Wall Street’s Take

Recently, Goldman Sachs analyst James Yaro reiterated a Buy rating on the stock and raised the price target to $196 from $177 (upside potential of 3%).

Consensus among analysts is a Strong Buy based on 3 unanimous Buys. The average Piper Sandler price target stands at $180 and implies downside potential of 5.5% to current levels.

Smart Score

PIPR scores a 9 out of 10 on TipRanks’ Smart Score rating system, suggesting that the stock is likely to outperform market averages. (See Top Smart Score Stocks on TipRanks)

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