Blue Foundry Bancorp launches sixth stock buyback program for 5% of shares

RUTHERFORD, N.J. - Blue Foundry Bancorp (NASDAQ:BLFY), a regional bank with a market capitalization of $180.6 million, announced Monday that its Board of Directors has authorized a sixth stock repurchase program to buy back up to 1,082,533 shares, representing approximately 5% of its outstanding common stock.

The new program, which began on June 20, follows five previous repurchase initiatives since July 2022. Through these earlier programs, the company has repurchased 7,798,723 shares, or 27.3% of its common shares, at a weighted average price of $10.09 per share.

According to the company’s statement, Blue Foundry’s tangible book value per share stood at $14.81 as of March 31.

The repurchase program allows shares to be bought back through open market or private transactions, block trades, or any trading plan adopted under Rule 10b5-1 of the Securities and Exchange Commission. Open market purchases will comply with Rule 10b-18 and other applicable legal requirements.

"We have been successful in our prior repurchase programs, which have allowed us to repurchase shares at a significant discount to tangible book value," said James D. Nesci, President and CEO of Blue Foundry Bancorp, in the press release. This aligns with InvestingPro data showing management’s aggressive share buyback strategy and high shareholder yield, two key metrics tracked by institutional investors.

The timing and volume of repurchases will depend on various factors including stock availability, market conditions, trading price, alternative capital uses, and the company’s financial performance. The bank is not obligated to repurchase any specific number of shares or to complete purchases within a set timeframe.

Blue Foundry Bancorp is the holding company for Blue Foundry Bank, which operates in eight New Jersey counties.

In other recent news, Blue Foundry Bancorp reported its first-quarter 2025 earnings, revealing an earnings per share (EPS) of -$0.13, which surpassed the forecasted -$0.18. Revenue for the quarter was $11.14 million, exceeding expectations of $10.42 million. Despite the positive earnings surprise, the company’s stock experienced a decline, reflecting mixed investor sentiment. At the annual shareholder meeting, four directors were elected to two-year terms, and KPMG LLP’s appointment as the independent auditor was ratified. A proposal recommending the sale or merger of the company was not approved by the shareholders. The company also emphasized its strong capital position, with a tangible equity to tangible assets ratio of 15.6%. Blue Foundry Bancorp anticipates further margin expansion in the coming quarters and plans to continue strategic loan portfolio diversification. The company remains focused on high-yield asset classes and maintaining robust credit quality.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.