Skillz (NYSE: SKLZ) stock is seeing big gains in Monday's trading. The gaming specialist's share price was up 18.3% as of 10:30 a.m. ET, according to data from S&P Global Market Intelligence.

Skillz published a press release this morning announcing that its board had authorized a $65 million buyback program for its Class A common stock. The company's board has also given the green light for management to explore buying back up to $65 million worth of outstanding debt notes.  

The company's recent buyback authorization signals that that its board likely believes its stock is undervalued. The authorization sets the stage for some significant stock repurchases in the near future and could help to establish a near-term floor for its share price. 

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Source Fool.com