From Infosys to Indus Tower, these stocks trade well below their buyback price

Infosys announced one of the largest buybacks recently, approving a repurchase of shares at ₹1,800 per share under a tender offer worth ₹18,000 crore. As of latest trade, Infosys shares are changing hands around ₹1,635-₹1,656, still below the buyback price of ₹1,800.

Several other stocks with prior buyback announcements are currently trading well below their respective buyback prices.

Among the other names trading below buyback levels are Cera Sanitaryware, which had fixed its buyback at ₹12,000 per share. The stock currently remains materially lower than that threshold.

This was the first-ever buyback announced by Cera Sanitaryware Ltd. The last bonus that the company had announced was in 2010 in the ratio of 1:1.

Other stocks in this category include Technocraft, TTK Prestige, Welspun Living, Dhanuka Agri, Tanla Platform, KDDL, Nectar Life, AIA Engineering, GHCL, Aurobindo Pharma, Nureca, Fairchem Organics, Zydus Life, Bajaj Auto, Indus Tower and Infosys itself.

The board of Tanla Platforms had approved a share buyback worth ₹

175 crore. In a meeting on June 16, Tanla Platforms' board had decided it would repurchase 20 lakh shares, representing around 1.5% of the total equity capital in the firm, at the price of ₹875 apiece.

These names are trading between roughly 9% to 57% below their buyback prices.

For example, Cera Sanitaryware is currently trading 57% lower than its ₹12,000 buyback price, while Infosys remains below its ₹1,800 buyback price even as broader markets fluctuate.

Under a share buyback, the company buys back its own shares from shareholders and it is seen as a tax-efficient way to give cash back to investors. Share buyback reduces the number of shares available in the market and thereby increases the real value of the stock.