Fri Sep 12 04:40:00 UTC 2025: Here’s a summary and a news article based on the provided text:
**Summary:**
Infosys announced a record-breaking ₹18,000 crore share buyback program, boosting its stock price and garnering positive analyst ratings. The buyback, at ₹1,800 per share, is significantly higher than the current market price and represents a substantial return of capital to shareholders. Analysts view the buyback as a positive move, indicating confidence in the company’s financial stability and future performance despite macroeconomic uncertainties. This decision came after a strong Q1 FY26 performance, with revenue and profit exceeding expectations, and revised revenue growth guidance for the year.
**News Article:**
**Infosys Stock Soars After Record ₹18,000 Crore Share Buyback Announcement**
**Bengaluru, India – September 12, 2025** – Shares of Infosys surged over 2% today after India’s second-largest IT company announced a record-breaking ₹18,000 crore share buyback program. The move, approved by the board, is the company’s largest buyback to date and sent a positive signal to investors.
The buyback price is set at ₹1,800 per share, a premium of over 19% compared to the previous closing price of ₹1,509.70. This represents a significant return of capital to shareholders and is expected to support the stock price. The company will seek some exemptive relief from the US SEC due to regulatory conflicts between Indian and US laws for tender offer buybacks.
“The market has reacted favorably to Infosys’ announcement, viewing it as a sign of confidence in the company’s financial health,” said one market analyst. “With substantial cash reserves, Infosys is well-positioned to execute this buyback and continue rewarding shareholders.”
Analysts from CLSA, Nomura, and Morgan Stanley have weighed in on the news. CLSA maintained an “Outperform” rating with a target price of ₹1,861, while Nomura reiterated its “Buy” rating with a target of ₹1,880. Morgan Stanley kept an “Equal-weight” rating, but noted the buyback size exceeded earlier expectations, suggesting confidence in FY26 guidance amid global economic uncertainty.
This announcement follows a strong first quarter for FY26, where Infosys reported an 8.7% year-on-year rise in consolidated net profit and a 7.5% increase in revenue. The company has also revised its revenue growth guidance for the fiscal year upwards to 1-3% in constant currency terms.
The buyback will be funded from Infosys’ free reserves and aligns with its capital allocation policy of returning 85% of free cash flow over five years through dividends and repurchases. The record date for the buyback program is yet to be announced. Investors are advised to consult with certified financial experts before making investment decisions.
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