Samsung Electronics Co. shares surged Monday after South Korea’s biggest company announced a surprise plan late Friday to buy back about 10 trillion won ($7.2 billion) of its own stock over the next year.

Shares of Samsung Electronics jumped on Monday after the company unveiled a surprise plan to buy back about 10 trillion South Korean won ($7.19 billion) worth of its own stock over the next 12 months.

Analysts expect the buyback to provide a short-term catalyst to the stock, which slumped more than 30% this year before Monday’s jump.

The prospect of a buyback worth trillions of South Korean won has cheered investors after a disappointing year. View on euronews