Active Stocks
Thu Mar 28 2024 15:59:33
  1. Tata Steel share price
  2. 155.90 2.00%
  1. ICICI Bank share price
  2. 1,095.75 1.08%
  1. HDFC Bank share price
  2. 1,448.20 0.52%
  1. ITC share price
  2. 428.55 0.13%
  1. Power Grid Corporation Of India share price
  2. 277.05 2.21%
Business News/ Markets / Stock Markets/  Infosys hits six-year high as company to consider share buyback
BackBack

Infosys hits six-year high as company to consider share buyback

Besides considering a share buyback proposal, the IT services giant's board will also mull its March quarter earnings and final dividend on 14 April

Stock markets had a rough year just about everywhere. Photo: iStockPremium
Stock markets had a rough year just about everywhere. Photo: iStock

Mumbai: Infosys Ltd stock gained as much as 3% to hit a six-year high on Monday after the country's second-largest IT services firm said its board would consider a share buyback programme on 14 April. However, the stock later pared gains in a weak market and was down 1.5% at 1419. The benchmark index, Sensex, cracked over 3%.

The stock has risen around 125% in the last one year against a gain of 54.92% in Sensex.

Also Read | The silent rise of India’s private ports

"The Board of the Company will consider a proposal for buyback of fully paid-up equity shares of the Company at its meeting to be held on April 14, 2021, in accordance with the Securities and Exchange Board of India (Buy-back of Securities) Regulations, 2018," the company said in a statement on Sunday.

The IT services giant will also consider its March quarter earnings and final dividend.

"We expect Infosys to report quarter-on-quarter growth of 2.2-3.9% in March quarter, maintaining strong revenue growth momentum from December quarter. Cloud, digital transformation, automation, artifical intelligence and cybersecurity continue to see healthy demand" said Emkay Global Financial in a note to its investors.

"Deal wins remain healthy across the companies and expect Infosys to guide for 12-15% on a year-on-year basis in constant currency revenue growth and 22-24% EBITM for FY22," the Emkay note added.

According to 15 Bloomberg analyst estimates, the firm is expected to post a revenue of 26,397.90 crore, while net profit is estimated at 5,168.30 crore.

In 2017 and 2019, Infosys bought back shares worth 13000 crore and 8260 crore at 1150 and 800 per share respectively.

In September 2019 and December 2017, Infosys had completed 8,260 crore and 13,000 crore buyback.

As of March 2020, Infosys has cash and cash equivalent at 18,649 crore.

Unlock a world of Benefits! From insightful newsletters to real-time stock tracking, breaking news and a personalized newsfeed – it's all here, just a click away! Login Now!

Catch all the Business News, Market News, Breaking News Events and Latest News Updates on Live Mint. Download The Mint News App to get Daily Market Updates.
More Less
Published: 12 Apr 2021, 11:56 AM IST
Next Story footLogo
Recommended For You
GENIE RECOMMENDS

Get the best recommendations on Stocks, Mutual Funds and more based on your Risk profile!

Let’s get started
Switch to the Mint app for fast and personalized news - Get App

Chat with MintGenie