Kajaria Ceramics Buyback Alert: Stock Rallies 34% in a Month Ahead of April 30 Board Meet;Should You BUY?

Shares of Kajaria Ceramics ended in green today after the company said that it will consider its first-ever share buyback at its upcoming board meeting.

Kajaria Ceramics Board Meeting on April 30

Kajaria Ceramics has officially informed exchanges that its board meeting scheduled for April 30, will consider multiple key shareholder-related decisions, which include:

• Approval of FY26 audited financial results
• Recommendation of dividend for FY26
• Consideration of a share buyback proposal, subject to regulatory approvals

The company stated in its filing that the board will evaluate the buyback proposal and authorise related actions if deemed fit. However, no final decision has been taken yet.

Kajaria Ceramics Buyback News

The Figure of the proposed buyback is unconfirmed and is subject to board approval.

If approved, this would mark Kajaria Ceramics' first-ever buyback which is often interpreted as a sign that management believes the stock is undervalued and that the company has sufficient cash reserves.

Investors should note that key details such as buyback size, record date, and tender timeline have not been officially disclosed. These will only be announced after board approval through a formal exchange filing.

Kajaria Ceramics Share Price Today

Kajaria Ceramics shares closed at Rs. 1,200, up 0.49% in today's session. The stock has been on a strong upward trend, gaining an impressive 34.70% in the last 30 days.

Should You Buy Kajaria Ceramics Shares

In a report dated March 30, Brokerage PL Capital has assigned a 'BUY' rating on Kajaria Ceramics, with a revised target price of Rs. 1,147, however the target has already been reached.

The brokerage was positive on the long-term outlook, since the report mentioned, "We remain positive on Kajaria Ceramics, driven by 1) market share gains amid industry disruptions, 2) shift towards value-added products, 3) strong brand and distribution, and 4) margin resilience, though near-term demand softness. We estimate revenue/EBITDA/PAT CAGR of 8.0% / 8.0% / 13.6% with over FY26-28E. We have considered ~5.0% CAGR over FY26-28E, factoring in a subdued demand environment and ongoing geopolitical uncertainties. We upward revised our earnings estimate by 2.9% for FY27E, while maintained for FY28E."

About Kajaria Ceramics

Kajaria Ceramics was founded in 1985 and is headquartered in New Delhi, India and which makes products like ceramic wall tiles, floor tiles, polished vitrified tiles, glazed vitrified tiles, and sanitaryware/bathroom solutions. The company is best known in India as a leading tiles maker, with products sold under several brands and sub-brands across premium and mass-market segments.

Kajaria Ceramics is a mid cap player with a Market capitalization of Rs. 19123Cr as of 22 April.

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