Ayala Land to launch P10-B buyback after share price drop

AYALA LAND, Inc. (ALI) said its executive committee approved a share buyback program of up to P10 billion to commence on April 1.

“The Executive Committee of Ayala Land, Inc. approved today, a share buyback program of up to P10 billion to commence 01 April 2026,” the company said in a disclosure on Tuesday.

“The program will be implemented through open market purchases executed via trading facilities of the Philippine Stock Exchange (PSE),” it added.

Analysts said the buyback may indicate that the company views its shares as undervalued and could provide near-term support to its stock price.

“This could be because from the company’s perspective, the market is not reflecting the true value of ALI,” Philstocks Financial, Inc. Research Manager Japhet Louis O. Tantiangco said in a Viber message.

“The share buyback would serve as a support to the company’s performance in the stock market,” he said.

“Ayala Land’s 29% year-to-date decline reflects persistent pressure from elevated interest rates, softer property demand, and cautious sector sentiment while the P10B share buyback signals management’s confidence in current valuations and provides near-term support,” Unicapital Securities, Inc. Research Head Wendy B. Estacio-Cruz said in a separate Viber message.

She added that any sustained rebound would hinge on lower interest rates and a pickup in demand.

At the local bourse on Tuesday, ALI shares fell by 0.74% to close at P16.14 each, their lowest level since Jan. 9, 2012, when they closed at P16.06. — Alexandria Grace C. Magno