The shares of Infosys jumped nearly 5 percent on September 9 after the company announced that its board will meet on September 11 to consider a proposal for buyback of fully paid-up equity shares.
If approved, this will be the first buyback of shares announced by India's second-largest IT firm since 2022, when the company had agreed to a buyback proposal of Rs 9,300 crore with a minimum buyback price of Rs 1,850 per share.
Infosys made the announcement in the post market hours of September 8. The stock jumped around percent to close at Rs 1,502.40quote apiece on September 9, snapping a five-session losing streak. It is currently the top gainer on the Nifty IT index, as well as benchmark indices Sensex and Nifty.
The Nifty IT index rose nearly 3 percent in the afternoon to 35,255.90 as sharp rise in heavyweights Infosys and Wipro contributed to the uptick in the sectoral index.
Infosys shares have dropped around 12 percent in the past six months, and are down nearly 21 percent in 2025 so far. This comes amid macroeconomic uncertainties following US President Donald Trump's harsh tariffs.
"Infosys is set to consider a share buyback on September 11. This decision comes at a crucial time when technology stocks face headwinds, and the buyback may provide much-needed support to investor confidence," said Devarsh Vakil, Head of Prime Research at HDFC Securities.
In the first quarter of the ongoing financial year 2026, Infosys reported an 8.7 percent year-on-year rise in consolidated net profit to Rs 6,921 crore, beating expectations. Revenue for the quarter grew 7.5 percent on-year to Rs 42,279 crore.
Infosys said it expects revenue growth of 1–3 percent in constant currency terms for FY26, revised up from 0-3 percent earlier. The firm maintained its operating margin guidance at 20–22 percent.
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