images-13Austin-based SolarWinds announced Monday that the software company plans to repurchase up to $50 million worth of its common stock.
“This share repurchase reflects the confidence of our management team and board of directors in the long term growth strategy that we have laid out and are executing on for SolarWinds,” Kevin Thompson, the company’s President and CEO, said in a news statement.
The company plans to buy the shares during the next 12 months but it did not disclose the exact timing and number of shares to be purchased.
SolarWinds plans to finance the program through cash from its operations and currently in its bank account.
“The program may be extended, suspended or discontinued at any time without prior notice,” according to a news release.
SolarWinds makes information technology management software to big and small businesses.
The Motley Fool reported last week that SolarWinds “stock fell off a cliff” after the company failed to meet analysts expectations for revenue growth in the second quarter.
The company’s stock, traded on the New York Stock Exchange under the symbol SWI, closed at $35.67 a share on Monday, down 19 cents from the previous close, according to Yahoo Finance.