Bajaj Auto Buyback 2026: Biggest in 4 years! Check premium, route and key dates—should you buy?

Bajaj Auto Buyback 2026: Shares of Bajaj Auto Ltd jumped nearly 3 per cent in early trade on Thursday after the two and three-wheeler maker announced a Rs 5,633 crore share buyback alongside strong March quarter earnings and a hefty dividend payout.

The stock rose as much as 2.89 per cent to Rs 10,617 on the NSE in early deals after the company fixed the buyback price at Rs 12,000 per share, a premium of around 15 per cent over Wednesday’s closing price.

Buyback announced through tender offer route

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Bajaj Auto said it plans to repurchase 46.94 lakh equity shares with a face value of Rs 10 each. The proposed buyback represents 1.68 per cent of the company’s total equity shares.

The company will carry out the buyback through the tender offer route, under which existing shareholders can tender their shares at a fixed price decided by the company.

The record date for determining shareholder eligibility will be announced later. Shareholders holding Bajaj Auto shares before the record date closing will be eligible to participate in the buyback process.

Promoters held a 55 per cent stake in the company at the end of the March quarter.

Buyback price higher than 2024 offer

This is Bajaj Auto’s second buyback in two years. In 2024, the company had bought back 1.41 per cent of its outstanding equity shares at Rs 10,000 apiece through the same tender offer route.

The latest buyback price of Rs 12,000 per share is significantly higher than the previous offer and comes as the stock trades above last year’s buyback level.

Q4 profit jumps 34 per cent

Bajaj Auto reported a standalone net profit of Rs 2,746 crore for the quarter ended March 31, 2026, marking a 34 per cent year-on-year increase.

The company said the reported profit included an exceptional gain of Rs 35 crore arising from the prepayment of a sales tax deferral loan at a discounted value.

Revenue from operations rose 32 per cent year-on-year to Rs 16,006 crore, helped by record volumes, favourable currency movement and better product mix.

The company said growth was broad-based across domestic motorcycles, electric two-wheelers, three-wheelers and export businesses.

Read detailed results here

Bajaj Auto also declared a dividend of Rs 150 per share for shareholders.

Analysts raise targets after strong quarter

Brokerages largely maintained their existing ratings on the stock but raised target prices after the March quarter earnings beat estimates.

JP Morgan maintained a “Neutral” rating and raised its target price to Rs 10,720 from Rs 9,780.

Jefferies retained its “Hold” call and increased the target to Rs 10,500 from Rs 9,100. The brokerage said India’s two-wheeler demand remains healthy and exports continue to stay strong, though rising commodity prices may pressure margins in the near term.

Morgan Stanley maintained an “Underweight” rating with a revised target of Rs 9,259. The brokerage highlighted strong export momentum and currency tailwinds but flagged moderation in entry-level domestic demand.

HSBC maintained its “Hold” rating and raised the target price to Rs 11,300 from Rs 10,200.

Citi retained a “Sell” call and raised its target to Rs 9,300, citing moderating domestic demand and elevated commodity costs.

Nomura maintained a “Neutral” stance and raised its target price to Rs 10,928. The brokerage said export momentum remains strong, though cost inflation could remain a key risk over the coming quarters.