Infosys Stock Spikes Over 4% – What Changed?
Infosys shares jumped after the IT giant announced a board meeting to consider a share buyback on September 11, 2025. Here’s what investors need to know about the buyback size, market impact and whether Infosys stock is a buy now.
Stocks in News | Shares of Infosys jumped over 4% in early trading on September 9 after the company announced that its board will meet on September 11 to consider a proposal for the buyback of fully paid-up equity shares.
This move, if approved, will mark Infosys’ first buyback since 2022. Back in 2022, the IT giant had approved a buyback worth Rs 9,300 crore with a minimum price of Rs 1,850 per share.
Infosys Buyback History
Infosys has conducted multiple buybacks in the past, with the last three being through the open market route. Unlike a tender offer buyback, where shares are repurchased at a fixed premium, the open market approach allows the company to buy shares at the prevailing market price.
Historically, Infosys’ buyback price has carried a premium of 18–25% over the current market price, rewarding long-term shareholders.
Expected Size of Infosys Buyback 2025
Brokerage firm Morgan Stanley estimates the potential buyback size could range between Rs 10,000 crore and Rs 14,000 crore. This would make the 2025 program one of the largest Infosys buybacks in recent years.
Market Reaction: Infosys Stock Performance
Following the announcement made post-market hours on September 8, Infosys stock opened more than 3% higher at Rs 1,481 on September 9.
The rally ended a five-session losing streak, with Infosys emerging as the top gainer on the Nifty IT index as well as the benchmark indices Sensex and Nifty.
The Nifty IT index also rose over 2% to 35,145 by 11 a.m., driven by sharp gains in heavyweight stocks like Infosys and Wipro.
Why the Infosys Share Buyback Matters
The buyback decision comes at a crucial time when Indian IT stocks have been under pressure. Over the past two weeks, the Nifty IT index has gained only once in nine sessions and has shed nearly 2,000 points.
By announcing a buyback, Infosys is not only signalling strong balance sheet confidence but also aiming to boost investor sentiment in a volatile market.
Infosys Q1 FY26 Performance Snapshot
For the first quarter of FY26, Infosys reported:
- Net Profit: Rs 6,921 crore (up 8.7% YoY, beating estimates)
- Revenue: Rs 42,279 crore (up 7.5% YoY)
- FY26 Guidance: Revenue growth of 1–3% in constant currency (revised upward from 0–3%)
- Operating Margin: Maintained at 20–22%
These strong results add weight to the company’s decision to return capital through a buyback program.
Should You Buy Infosys Shares Now?
While buybacks generally act as a positive signal, investors must consider broader market conditions and entry points before investing. If you’re wondering whether this is the right time to buy Infosys, tools like LiMo (Liquide’s AI stock investing copilot) can guide you with entry levels, technical insights and possible targets.
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