Ami Organics Shares Rally 3% As Pharma Giant Eyes Stock Split On Feb 21; What To Expect?

Pharma company Ami Organics Ltd. saw its shares gain momentum today, with the stock rising by up to 3.7% in early trade. Investors are keenly watching the stock as the company is set to consider a stock split in its upcoming Board of Directors meeting on February 21, 2025.

Ami Organics Share Price Performance

Shares of Ami Organics surged to an intraday high of Rs.2,275.90 before stabilizing. As of 1:31 PM, the stock was trading 0.30% higher at Rs.2,199. The stock has shown a remarkable rally over the past year, nearly doubling in a year, surging 96.98% over 12 months. Ami organic shares jumped by 8% in the last 30 days and gained 72% in the last six months.

The stock has touched a 52-week high of Rs.2,644 and a 52-week low of Rs.1,004.45, reflecting its strong upward momentum.

Ami Organics to Consider Stock Split

In an exchange filing, Ami Organics announced its plan to consider a stock split at its Board of Directors meeting on February 21, 2025. The company stated, "Pursuant to Regulation 29 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015, we hereby inform you that a meeting of the Board of Directors of the Company is scheduled to be held on Friday, February 21, 2025, to consider, inter alia, the proposal for alteration in the share capital of the Company by way of sub-division/split of the existing equity shares of the face value Rs. 10/- each in such manner as may be determined by the Board of Directors, subject to approval of the shareholders and any regulatory/statutory approvals, as may be required under applicable law."

A stock split typically makes shares more affordable for retail investors by reducing the price per share while increasing the number of outstanding shares, often boosting liquidity and investor participation.

Ami Organics Financial Performance (Q3 FY25)

In the quarter that ended in December 2024, Ami Organics delivered impressive financial results. The net profit of the pharma company more than doubled, jumping from Rs. 16.8 crore to Rs. 45 crore. The revenue surged 65% year-on-year, reaching Rs.275 crore. EBITDA increased a massive 155% from Rs. 26.5 crore to Rs. 68.7 crore. However, EBITDA margins declined from 25% to 15.9%. With the upcoming stock split, the stock is likely to remain in focus in the coming days. If the stock split is approved, it could further enhance liquidity and investor participation, making Ami Organics a stock to watch in the pharma sector.