1:10 Stock Split: Record Date - Friday, June 28; A Good Deal For Small Investors?

Avonmore Capital & Management Services Limited is a non-banking financial institution headquartered in India. Established in 1991, Avonmore Capital & Management Services Ltd. is a small-cap business in the financial services industry, with a market capitalization of Rs 315 Cr. The outstanding shares of the firm as of March 31, 2024, are 2.34 crore. This week, investors searching for upcoming stock splits may discover Avonmore Capital & Management Services to be a compelling buy to make before the record date, which means that the small-cap company will probably be in the spotlight.

Avonmore Capital & Management Services Stock Split Record Date

"Pursuant to Regulation 42 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, it is hereby informed that, the Board of Directors of the Company through resolution passed by circulation on Saturday 15, 2024, have fixed "Friday, June 28, 2024" as the "Record Date" for the purpose of sub-division/ split of existing Equity Shares of the Company, such that 1 (one) equity share having face value of Rs. 10/- (Rupees ten only) each, fully paid-up, be sub-divided/split into 10 (Ten) equity shares having face value of Re.1 /- (Rupee One Only) each, fully paid- up, ranking pari- passu in all respects, pursuant to the shareholders' approval received through postal ballot by way of remote e-voting on Friday, June 14, 2024 (being the last date of remote e-voting). The company shall make necessary applications to the stock exchanges where the shares of the company are listed i.e. BSE Limited and National Stock Exchange of India limited (NSE) and execute corporate actions with the depositories in this regard," said Avonmore Capital & Management Services in a regulatory filing.

The rationale behind the stock split is "To enhance the liquidity in the capital market, to widen shareholder base and to make the shares more affordable to small investors," the company informed to stock exchanges.

Avonmore Capital & Management Services FY24 Performance Highlights

The company enjoyed revenue from operations of Rs 48.21 crore for the quarter ending in March 2024, growing 73.35% from Rs. 27.81 crore for the same period in 2023. In Q4FY24, the company's net profit was Rs. 0.97 crore, a 64.73% drop from Rs. 2.75 crore in Q4FY23. EBITDA climbed by 79.62% from Rs. 3.73 crore during March 2023 quarter to Rs. 6.70 crore in March 2024.

Avonmore Capital & Management Services Share Price Target

"Almondz Capital is a SEBI-registered Category-I Merchant Banker providing services in Corporate Finance, Money Market Operations, Equity Research, NBFC activities, and sub-broker advisory services and is currently consolidating, indicating an opportunity for those looking to enter at a more favorable price point. With a sector PE of 9.38 and a current price of Rs. 133, the stock reflects a sign of strength despite the recent one-month return of -1.85%. Entry at Rs. 125 to Rs. 130 could be beneficial with the targeting gains at Rs. 140, Rs. 155, and Rs. 180. The stock's 52-week range suggests potential volatility, and stop loss at Rs. 118 is prudent and investors are advised to consider a holding period of 20 to 110 days," commented V.L.A. Ambala, a Research Analyst (SEBI Registered), Co-founder - Stock Market Today (SMT).

Disclaimer

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