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In an effort to boost its shareholders value, the board of directors of CoreLogic Inc. (CLGX - Snapshot Report) approved a new share buyback program. Per the approval, the company will be able to repurchase up to $250 million worth of shares.

This new program will replace the previous one which had $156 million remaining under its authorization

CoreLogic's financial strength allows it to continue with its buyback program. Cash from operations, generated by CoreLogic in the first nine months of 2012, which improved 380.9% year over year, will continue to cushion future buybacks. The company spent $197.9 million to buyback 8.3 million shares in the third quarter, taking the tally to 10 million shares repurchased for $226.6 million year to date.

In April this year, the company announced its expectation to repurchase 5 million shares in 2012. In the second quarter, it doubled the plan to repurchase 10 million shares by the year end. In order to achieve this goal, the company increased its share repurchase substantially by 388.2% quarter over quarter in the third quarter and completed the buyback program worth 10 million shares ahead of schedule.

CoreLogic expects to deliver operating earnings per share in a range of $1.45–1.50. We believe that share repurchases will help it achieve the guided range. The Zacks Consensus Estimates for 2012 is currently pegged at $1.53, higher than the company’s guidance and also representing a 67.8% year- over-year improvement.

The company continues to focus on improving revenue, expanding margins and fortifying its capital structure, which helped it deliver solid results year to date.

However, no earnings momentum has been witnessed over the last 7 days. We expect the news of the new buyback authorization will encourage analysts to pull up their estimates, providing upward directional pressure on the Zacks rank.  CoreLogic currently holds a Zacks #2 Rank, translating into a short-term Buy rating. Its peer, Lender Processing Services Inc. carries a Zacks #3 rank that translates into a short- term Hold rating.

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