HOME FEDERAL BANCORP, INC. OF LOUISIANA ANNOUNCES APPROVAL OF STOCK REPURCHASE PROGRAM

Rhea-AI Summary

Home Federal Bancorp (NASDAQ: HFBL) has announced its thirteenth stock repurchase program, approved by the Board of Directors on October 31, 2024. The program authorizes the repurchase of up to 100,000 shares, representing approximately 3.0% of the company's outstanding common stock. The repurchases can be executed through open market or privately negotiated transactions, with no specified expiration date. Home Federal Bank operates from ten full-service banking offices and a home office in northwest Louisiana.

Positive

• Authorization to repurchase 100,000 shares (3.0% of outstanding stock)
• No expiration date on the repurchase program provides flexibility
• Demonstrates company's commitment to returning value to shareholders

Negative

• Potential reduction in cash reserves available for operations or growth
• May decrease stock liquidity due to reduced float

Insights

Financial Analyst

The announcement of HFBL's thirteenth stock repurchase program for up to 100,000 shares (3.0% of outstanding shares) is a positive signal for shareholders. Stock buybacks typically indicate management's confidence in the company's financial health and their belief that shares are undervalued. For a small-cap bank with a market cap of $38.1 million, this program demonstrates commitment to returning value to shareholders and could provide price support. The open-ended nature of the program offers flexibility in execution timing, allowing management to be strategic with purchases. The buyback may also improve key metrics like earnings per share and return on equity by reducing the share count, though the impact will depend on the actual execution rate and price paid per share.

SHREVEPORT, LA, Nov. 01, 2024 (GLOBE NEWSWIRE) --

For Immediate Release

Home Federal Bancorp, Inc. of Louisiana (the “Company”) (NASDAQ: HFBL), the holding company for Home Federal Bank, announced today that its Board of Directors on October 31, 2024, approved the Company’s thirteenth stock repurchase program. The new repurchase program provides for the repurchase of up to 100,000 shares, or approximately 3.0% of the Company’s outstanding common stock from time to time, in open market or privately negotiated transactions. The stock repurchase program does not have an expiration date.

Home Federal Bancorp, Inc. of Louisiana is the holding company for Home Federal Bank which conducts business from its ten full-service banking offices and home office in northwest Louisiana.

Statements contained in this news release which are not historical facts may be forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by the fact that they do not relate strictly to historical or current facts. They often include words like “believe,” “expect,” “anticipate,” “estimate” and “intend” or future or conditional verbs such as “will,” “would,” “should,” “could” or “may.” We undertake no obligation to update any forward-looking statements.

FAQ

How many shares can HFBL repurchase under its new stock buyback program?

HFBL can repurchase up to 100,000 shares, representing approximately 3.0% of the company's outstanding common stock.

When did HFBL's Board approve the new stock repurchase program?

The Board of Directors approved the thirteenth stock repurchase program on October 31, 2024.

Is there an expiration date for HFBL's new stock repurchase program?

No, the stock repurchase program does not have an expiration date.

How will HFBL execute its stock repurchase program?

The company can execute repurchases through open market or privately negotiated transactions.