Better Choice Company Inc. ( BTTR ) shares are trading higher Tuesday after the company announced a share repurchase program. 

The Details:

Better Choice's ( BTTR ) board of directors has authorized a stock repurchase program under which the company can repurchase up to $5 million of the currently outstanding shares of its common stock, until Dec. 31, 2024.

The company reported its fourth-quarter financial results Friday with losses of $6.51 per share and quarterly sales of $5.702 million. 

“In 2023, we realized significant gross margin improvement to 31%, fueled by strategic pricing initiatives and a 3% YOY improvement of input costs – a reflection of operational discipline and unlocking profit through high production supply volumes. Our further continued focus on financial discipline and a path to profitability is reflected in the 29% adjusted EBITDA growth and significant improvement in cash burn during the year," Kent Cunningham, CEO of Better Choice ( BTTR ).

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Is BTTR A Good Stock To Buy?

An investor can make a few decisions when deciding whether a stock is a good buy. In addition to valuation metrics and price action which you can find on Benzinga's quote pages – like Better Choice ( BTTR )‘s page for example – there are factors like whether or not a company pays a dividend or buys a large portion of its stock each quarter.

These are known as capital allocation programs. Better Choice ( BTTR ) does not pay a dividend, but obviously has a few ways it can return value to shareholders. Feel free to search Benzinga's dividend calendar for the next company that is due to pay a dividend and determine what kind of yield you can earn for holding a share of the company.

For example, if you're looking to earn an annualized return of 14.67%, you'll need to buy a share of Medical Properties Trust by April 19. Once done, you can expect to receive a nominal payout of 15 cents on May 1.

Buyback programs are obviously different and highly variable. A company can approve a buyback program and purchase shares as it sees fit over the course of time in which the buyback was authorized. Looking through the latest news on Better Choice ( BTTR ) will often yield whether or not the company has approved a buyback program recently. Buyback programs usually serve as a support for share prices, serving as a backstop for demand.

BTTR Price Action: According to Benzinga Pro, Better Choice Company ( BTTR ) shares are up 22.9% at $6.27 at the time of publication Tuesday.

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