Info Edge (India) (the parent company of Naukri.com) has announced 7 May 2025 as the Record Date for the stock split. This comes after the shareholders approved via postal ballot on 11 April 2025 and a board meeting on 14 April 2025. The split will be in the ratio of 1:5, i.e. one fully paid equity share of INR 10 will be converted into five shares of INR 2 each, making the stock more accessible to a larger number of investors, especially in the retail segment. The new shares will be pari-passu with the existing shares.
Strong Financials – Driven By Naukri.com and Jeevansathi
This corporate action comes on the heels of a robust business update for Q4FY25, with Info Edge reporting 19% year-on-year growth in standalone billings, reaching INR 983.8 crore versus INR 826.9 crore in Q4FY24. For the full fiscal year 2025, standalone billings stood at INR 2,881.7 crore, a healthy 15.5% increase over the previous year.
The recruitment vertical, which forms the backbone of Info Edge’s operations, saw an impressive 18.4% YoY jump in Q4FY25 billings, marking its best performance in the last 10 quarters — a noteworthy feat considering the headwinds in the IT hiring market. The 99acres real estate platform recorded 21.9% YoY growth, its highest in the past four quarters, while other segments including Jeevansathi and Shiksha posted a commendable 18.7% growth.
Info Edge Stock Performance
Despite these operational gains, the stock has faced turbulence in 2025, dropping nearly 24% year-to-date and currently trading well below its 52-week high of INR 9,128.9, which it hit on January 6. However, the stock rebounded with a 2.5% intraday surge on 11 April, closing at INR 6,545.30, as investors responded positively to the Q4 update.
Info Edge shares signaling a potential accumulation zone for long-term investors, especially in the context of the upcoming split and solid business momentum.
Valuation Perspective
Top brokerage JM Financial has maintained a ‘Buy’ rating on the stock while adjusting its target price to INR 7,800 (down from INR 8,750). This revision factors in moderated forecasts for the recruitment segment due to a cautious outlook on IT hiring trends and the recent correction in listed investee companies Zomato and PB Fintech, both held by Info Edge.
JM Financial’s revised target implies a FY27 PER of 49x for the standalone business, incorporating a 25% holding company discount. They continue to favor a Sum-of-the-Parts (SOTP) valuation model, pointing to broad-based strength across verticals and operational resilience.
Management Action – Significance
Info Edge’s stock split is not just a cosmetic adjustment but a tactical decision aligned with the company’s broader investor-friendly approach. By lowering the entry barrier for new investors, especially retail participants, Info Edge is effectively democratizing access to its shares. This move also supports liquidity and could aid in better price discovery over time.
Moreover, the promptness with which the company acted — announcing the Record Date within days of shareholder approval — signals clarity of vision and operational efficiency at the top.
Bottom Line
Info Edge’s decision to fix May 7 as the Record Date for a 1:5 stock split underscores a blend of strong operational execution, strategic capital market decisions, and investor engagement. With solid fundamentals, high-growth segments, and an experienced management team led by Sanjeev Bikhchandani, the company remains a compelling story in India’s digital services space.
While near-term volatility may persist due to macro and sectoral dynamics, long-term investors would do well to keep Info Edge on their radar, especially Info Edge stock split could act as a catalyst for improved retail participation and potential re-rating.
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