- Bajaj Auto board will consider a share buyback proposal on May 6
- The company did not specify the number of shares for buyback
- Last share repurchase by Bajaj Auto was in February 2024
Shares of Bajaj Auto Ltd. surged during early trade on Thursday after the board said it will consider a proposal to buy back shares in a meeting on May 6. The company did not disclose the number of shares under consideration.
The board will also approve the results for the quarter ended March 31, 2026, and the final dividend of fiscal 2026.
The last time Bajaj Auto repurchased its own stock was in February 2024. It involved 1.41% equity. Before that, it had bought back shares worth Rs 2,500 crore in July 2022 through the open market.
As of December 2025, Bajaj Auto's balance sheet remained healthy with surplus funds at Rs 15,000 crore.
Bajaj Auto Share Price Movement
Bajaj Auto share price jumped as much as 2.9% to Rs 9,819 on the NSE, compared to a 1.3% fall in the benchmark Nifty 50. The stock is up 2% year-to-date and 21% in the last 12 months.
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Buyback Taxation
The government introduced a flat 12% surcharge on buyback gains for individuals starting April. This move could increase the tax burden for many investors, especially those in lower income brackets.
Earlier, surcharge on buyback gains was linked to income slabs, which meant investors with lower total income paid a lower surcharge. However, with the introduction of a flat 12% surcharge, individuals with income below Rs 1 crore may now see a higher tax outgo compared to the earlier structure. On the other hand, for investors with buyback gains above Rs 1 crore, the surcharge has been reduced from 15% to 12%, resulting in some tax relief for high-income investors.
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