Infosys share price surges nearly 5% amid plans for fourth share buyback in history
Infosys' share price rose as much as 4.9% over previous close to ₹1,502.90 apiece on the BSE. That, lifted the Nifty IT index by more than 2%.
The stock of Infosys Ltd. surged today on plans for its fourth share buyback in history. India's second largest IT services firm got listed in 1993.
Infosys' share price rose as much as 4.9% over previous close to ₹1,502.90 apiece on the BSE. That, lifted the Nifty IT index by more than 2%.
On Monday (8 September 2025), Infosys announced that its board will meet on 11 September to consider a share buyback proposal. The size, price and structure of this potential buyback are yet undisclosed, but clarity is likely to emerge only after the board meeting on Thursday.
Infosys Buyback History
To be sure, this would be only the fourth share buyback in the history of the company that was co-founded by N.R. Narayana Murthy in 1981. Infosys went on to list in February 1993.
- 2017: The first-ever buyback in Infosys' three-decade history. The company repurchased 11.30 crore shares at ₹1,150 apiece, totalling ₹13,000 crore.
- 2019: Infosys bought back from the open market 11.05 crore shares at an average price of ₹747.38 apiece, totalling ₹8,260 crore.
- 2021: In another open market transaction, Infosys picked up shares worth ₹9,200 crore to ₹9,300 crore at ₹1,750-1,850 apiece.
But Why A Buyback?
A share buyback typically indicates that the management views the stock as undervalued and that it has sufficient cash reserves. Infosys has a policy to return to substantial portion of its free cash flow to shareholders.
As on 30 June 2025, Infosys had a free cash flow of ₹7,533 crore—a 17.7% year-on-year decline—but still 108.8% of net profit, according to quarterly results data. In US dollar terms, free cash flow was $884 million, or 109% of net profit. Infosys held consolidated cash and investments of ₹45,204 crore as on 30 June 2025.
