GoodRx jumps after 12 mln share repurchase from Spectrum

GoodRx Holdings

22/11/2023 16:16

(Updates stock activity, adds context)
    ** Shares of GoodRx  GDRX.O  jump as much as 7.3% on Weds to
$6, a 10-week high, after digital healthcare platform
repurchases stock from private equity backer
    ** GDRX late Tues disclosed in a filing it will buy 12 mln
shares from Spectrum Equity at $5.47 worth about $65.6 mln
    ** Co said will have about $53.5 mln remaining under its
$250 mln buyback program
    ** GDRX has ~406.1 mln shares outstanding and ~78 mln shares
of free float, LSEG data shows
    ** GDRX shares on Mon popped 10% following disclosure late
Fri that CEO Scott Wagner bought about 131K shares worth roughly
$677K last week
    ** KeyBanc analyst Scott Schoenhaus said in flash note late
Tues recent stock purchases are "a clear indication" GDRX sees
its stock as undervalued and he expects co to further utilize
its remaining stock repurchase authorization
    ** Schoenhaus rates GDRX "sector weight"
    ** 7 of 19 analysts rate stock "buy" or "strong buy", rest
rate "hold", per LSEG data; median PT of $6 down from $8 on Oct
22
    ** GDRX last up 4.5% at $5.84 on the session now up 25% YTD.
Still, stock well off 2023 intra-day high of $9.37 hit in Jul

 (Lance Tupper is a Reuters market analyst. The views expressed
are his own)
 ((lance.tupper@thomsonreuters.com
lance.tupper@tr.com 1-646-279-6380))