Electronic health record giant Cerner has announced a stock repurchasing plan, allowing the company to repurchase up to $217 million of its common stock.
Based on last week's closing prices, the plan would authorize the purchase of about 4 million shares, or 1.2 percent of the company's shares outstanding.
The repurchasing plan aims to help offset dilution created by future equity grants. The repurchasing will be funded from working capital, according to a 4-traders report.
"At current prices, we believe the repurchase of our stock is a good use of funds," said Neal Patterson, Cerner's chairman, CEO and co-founder, in the report. "This program reflects our commitment to enhancing long-term shareholder value and our confidence in Cerner's prospects as a leader in the growing healthcare industry."
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