Overview:

• Promoters and founders of Infosys have decided to forego the Rs. 18,000-crore buyback, indicating high levels of confidence in the long-term growth of the company.

• The news has triggered a 4.7% gain in Infosys stock and a 2.4% increase in the Nifty IT index, which makes Infosys the biggest gainer in the Nifty 50.

• With a market cap of Rs. 6.4 lakh crore and consistent earnings growth, Infosys has been priced comfortably while still paying dividends and conducting buybacks to reward shareholders.

Infosys share price jumped almost 4.7% on October 23, 2025, to Rs. 1,541.90. The price hike came after the firm said that its promoters and families of the founding members have opted out of the Rs. 18,000-crore buyback. Investors have seen this as a strong indication of faith in the future of the company. Let’s explore Infosys share price analysis in detail based on Moneycontrol market data.

Current Market Performance

Infosys share price today hit an intraday high of Rs. 1,546, a big jump from last close price of Rs. 1,472.40. The stock has opened at Rs. 1,510. More than 1.45 crore shares have been traded so far, with a total turnover of Rs. 2,23,589 lakh. Infosys shares’ VWAP was at Rs. 1,529.93, indicating sustained buying interest at various price points.

Infosys share price chart on Moneycontrol shows gains of 4.69% as of 2.46 PM: 

Promoters Show Confidence in the Future

The company’s promoter and promoter group, who own 13.05% of the company's equity, have announced that they will not be tendering their shares in the buyback offer. The promoters are Narayana Murthy and his wife Sudha Murthy, Nandan Nilekani and his family, and other co-founders and their families.

Market analysts have stated that this action reflects strong optimism about Infosys' future prospects. "The promoters avoiding the buyback decision indicates that they believe in Infosys' long-term growth and enhances the entitlement ratio for retail investors," explained Saurabh Jain, AVP-retail equities at SMC Global.

The Infosys board, during its September 2025 meeting, has authorized the firm's largest-ever share buyback, worth Rs. 18,000 crore. The proposal has targeted buying up to 10 crore paid-up equity shares of face value Rs. 5 each, 2.41% of equity, at Rs. 1,800 per equity share.

This buyback has been in line with Infosys' capital allocation strategy that aims to return around 85% of free cash flow within five years via dividends and buybacks. The firm has indicated that this strategy ensures efficient use of capital while retaining sufficient cash for strategic and operational requirements.

Infosys has always been a shareholder-friendly stock. Its initial 2017 buyback was Rs. 13,000 crore, followed by Rs. 8,260 crore in 2019, then Rs. 9,200 crore, and lastly Rs. 9,300 crore in 2022. The latest buyback has been the biggest. Hence, it reveals the tech giant’s robust cash position and support for shareholders.

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Strong Fundamentals and Analyst Optimism

Infosys's current market cap stands at Rs. 6,40,317 crore. With a TTM EPS of Rs. 67.70 and a PE multiple of 22.77, lower than the industry average of 27.72, the stock has been nicely priced. The company also has a dividend yield of 2.79%, which offers consistent returns to investors.

Analyst opinion has been upbeat with 51% advising a 'Buy' and 18% an 'Outperform.' 4% only advise against it. This reflects widespread optimism in Infosys' future with increased global demand for digital and AI-driven services.

IT Sector Rallies with Infosys in Lead

Infosys share price surge has driven a rally in the IT space with Nifty IT index rising 2.4%. Its peers like HCL Technologies and TCS have also risen. Investors are pumping money into technology stocks on improvement in global tech expenditure. With solid foundations, consistent returns to shareholders, and management optimism, Infosys shares seem well placed to continue its dominance in the IT services space.  Analysts believe the company will keep performing well as it gains from AI-driven digital projects and expansion of the client base in the core markets.

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FAQs

1. Why did Infosys promoters opt out of the buyback?

Infosys promoters Narayana Murthy and Nandan Nilekani chose not to join in order to demonstrate belief in the long-term growth of the company. Their decision also increases the retail shareholders' entitlement for the buyback, providing smaller investors a bigger piece of the buyback.

2. How much was Infosys' buyback offer?

The Rs. 18,000-crore buyback intends to purchase as much as 10 crore shares at Rs. 1,800 apiece, which is 2.41% of equity. The buyback is in line with Infosys' policy of returning 85% of free cash flow through buybacks and dividends.

3. What was Infosys' share price today?

Infosys shares surged 4.7% to Rs. 1,541.90 at the close, hitting an intraday high of Rs. 1,546. The surging made Infosys the biggest Nifty gainer and sent the Nifty IT index up 2.4%, reflecting solid investor optimism.

4. What is analysts' outlook on Infosys stock?

Analysts are optimistic about Infosys, with over 50% of them suggesting a 'Buy.' They attribute the reasons for growth in the next few quarters to robust fundamentals, cash generation, and leadership in the digital and AI space.

5. How does Infosys' valuation stack up against peers?

Infosys is currently trading at a trailing PE of 22.77, which is below the sector average of 27.72, and hence it is comparatively undervalued. With consistent EPS growth and a dividend yield of 2.79%, it offers both capital gains and stable returns to investors.