Starbucks may repurchase up to 25 million additional shares of its common stock.
The Seattle-based coffee company said that its board approved the plans in addition to the 12.1 million shares still available under a prior authorisation.
The company has an estimated 749.3 million shares outstanding.
Starbucks says the plan reflects its strong cash flow and commitment to return value to shareholders.
The move comes a day after Starbucks announced the acquisition of Teavana, which sells loose leaf teas, for 620 million US dollars.
Companies reward investors when the repurchase shares by increasing the value of remaining shares. The company's per-share earnings also get a boost as results are divided among fewer shares.
Shares of Starbucks fell 41 cents to 48.43 US dollars.