(Bloomberg) -- Michelin jumped the most in almost two years after the French tiremaker reported solid earnings and announced a plan to buy back up to €1 billion ($1.1 billion) of stock.

The shares rose as much as 7.7% in Paris trading, the biggest intraday gain in just under two years to add more than €1.5 billion to the manufacturer’s valuation.  

The stock has advanced 17% in the past 12 months, more than twice the increase in France’s benchmark CAC 40 Index.

The buyback program was a positive surprise, Deutsche Bank analysts led by Christoph Laskawi said in a note. Citigroup analyst Sanjay Bhagwani said segment operating profit in the second-half was about 9% above consensus, while free cash flow also topped estimates.

--With assistance from Albertina Torsoli, James Cone and Isolde MacDonogh.

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