JetBlue's Stock Soars After Share Buyback Program Doubled, Investor Day Presentation

Shares of JetBlue Airways Corp. soared 6.7% toward a 10-month high in midday trade Tuesday, after the air carrier said it was doubling its share repurchase program, and as the company presented its 2017 outlook at its investor gathering. The company said it previously approved $250 million three-year stock buyback program was increased to $500 million, with the term extended to Dec. 31, 2019. So far this year, JetBlue said it bought about 5.4 million shares for $120 million. That implies a price of $22.22 per share for those repurchased, which is 4.5% below current prices. Separately, the company said it expects 2017 capacity growth in the 6.5%-to-8.5% range over last year, with most of the growth from the eastern U.S. (17.5% to 19.5%).