Infosys shares are in focus as record Rs 18,000 cr buyback date approaches. What should investors do?

Shares of IT giant Infosys are likely to remain in the spotlight today as the record date for the much-awaited Rs 18,000 crore share buyback falls tomorrow, November 14. Investor attention has surged following the announcement, with multiple brokerage firms and research heads offering strategic advice ahead of the deadline.The record date for a repurchase is the cut-off date established by the company to determine which shareholders are eligible to participate in the repurchase offer. In the case of Infosys, the record date is November 14, which means that only the shareholders holding Infosys shares in their demat account as of the end of this date (or as per the T+1 settlement, by owning shares before November 13) will be eligible to tender their shares for the buyback.

If an investor purchases Infosys shares on or after November 14, he will not be eligible for the buyback offer.

Rs 18,000 cr Buyback details: Largest in Infosys history

India’s second largest IT services company had announced its largest ever share buyback proposal at Rs 1,800 per share, a premium of around 18 to 19% over the then market price.

The buyback will be done through tender route and will include 10 crore equity shares, representing approximately 2.4% of the company’s paid-up share capital and reserves. The board approved the proposal on September 11 and received a huge 98.81% shareholder approval.

According to Saurabh Jain, Head of Fundamental Research at SMC Global Securities, the move underlines Infosys’ strong cash position and its intention to return excess capital to shareholders. He noted that the buyback underlines the company’s confidence in its earnings visibility and overall business prospects. Furthermore, the buyback is expected to have a positive impact on earnings per share (EPS) and support valuations by reducing the total number of shares.

The tender route means that shareholders can offer their shares at the fixed price. However, acceptance will be on a pro-rata basis. For retail investors, the acceptance rate can range between 20 and 25%, while Axis Securities has projected a minimum acceptance rate of 5% for retail shareholders and 2% for non-retail investors. The record date for determining eligible shareholders has been confirmed as November 14, 2025.

What should investors do?

Nilesh Jain, principal vice president of Equity Research (Technical and Derivatives) at Centrum Broking, recommends buying Infosys shares from a short-term perspective.He expects the stock to move towards targets of Rs 1,550 – Rs 1,600, while the support will be at Rs 1,450. Jain noted: “Historically, we have seen the shares react positively ahead of the buyback,” suggesting current levels could provide a good entry point.

Anuj Gupta, director of Ya Wealth Global Research, also highlighted that the buyback is a strategic opportunity for investors to make short-term gains. He recommended that existing shareholders should hold Infosys shares from November 14 to be eligible to participate in the offer.

With strong institutional support and multiple analyst calls highlighting the attractiveness of the buyback, Infosys is expected to remain closely watched by market participants today as the final participation deadline approaches.

(Disclaimer: Recommendations, suggestions, views and opinions expressed by the experts are their own. These do not represent the views of The Economic Times)