RemedyTemp’s Board OKs Stock Repurchase

RemedyTemp Inc., a provider of temporary staffing services, said Monday that its board had approved plans for the company to repurchase as much as $5 million worth of its common stock.

The announcement came after the company’s stock tumbled 17% Friday and hit a 52-week low during the session.

“We believe that our stock is significantly undervalued at current price levels,” said Paul W. Mikos, president and chief executive officer.

Shares of Aliso Viejo-based RemedyTemp closed Monday at $16, down 88 cents.

The company said it may purchase shares on the open market or in private transactions at prevailing market prices.

After Friday’s slump, analysts said fears of a global recession have led to concerns that companies may not be hiring as many temporary workers.