Double Dhamaka! 1:2 Stock Split + 1:1 Bonus Issue; Rs 211 Multibagger NBFC Stock Nears 52-Week High; BUY Time?

BN Rathi Securities, a penny stock in the sector of NBFC, announced a double bonanza for shareholders on Wednesday, December 4, 2024. The company is going to multiply investors portfolios with 1:2 stock splits and 1:1 bonuses. Amidst this, investors cheered BN Rathi Securities share price despite volatility. The stock is a little over the Rs 211 level and neared its 52-week high. Check Record Dates:

BN Rathi Securities Share Price:

After market hours of December 4, the stock price ended at Rs 211.20 apiece, up by 2.4% on BSE with a market cap of Rs 219.12 crore. The stock is near its 52-week high of Rs 219.45 apiece, while it has more than doubled from its 52-week low of Rs 86.28 apiece.

Its price-to-equity ratio is at 17.70x, while its return on equity is at 20.89%.

BN Rathi is a multi-bagger NBFC stock. YTD, the stock zoomed by 128.55% on BSE so far. In 5 years, the stock has rallied by 1,442.73%.

BN Rathi Securities Stock Split:

In a board meeting scheduled on December 4th, BN Rathi received approval for alteration of its capital by Split/Sub-division of 1 (One) Equity Share of the Company having face value of Rs.10/- each into 2 (Ten) Equity Shares of the Company having face value of Re. 5/- each consequential amendment in the Memorandum of Association of the Company, is subject to necessary approvals.

Hence, the stock split ratio is at 1:2.

BN Rathi said that the Managing Director of the Company is authorized to fix the Record Date for Split/Sub-division.

As per the filing, BN Rathi's reason behind the stock split is to enhance the liquidity of Equity Shares and widen the shareholders base by making the Equity Shares more economical to the investors.

The company plans to finish its stock split action within 4 months from the date of the Board's approval.

BN Rathi Securities Bonus Issue:

Further, the company received approval for issuance of (1) Bonus Share for every 1 Equity Share held by the Equity Shareholders of the Company as of 'Record Date'. The Bonus Issue of Equity Shares is subject to the approval of the shareholders and other applicable statutory and regulatory approvals, as may be required.

Hence, the bonus issue ratio is at 1:1.

Notably, the company said that the Managing Director of the Company is authorized to fix the Record Date for Bonus Issue and Stock Splits. These will be first bonus and split by BN Rathi Securities.

Should You BUY BN Rathi Securities Stock?

"B N Rathi Securities stock price is bullish on the Daily charts with strong support at 192. A Daily close above resistance of 220 could lead to a target of 242 in the near term," A R Ramachandran, Independent Research Analyst said.

About BN Rathi Securities:

B.N.Rathi Securities Ltd is a publicly listed stock broking firm providing integrated types of services, encompassing the entire spectrum of activities relating to the Financial Market Transactions. BNRSL Group has been in the financial markets for over Five Decades and this vast experience is put to use for providing the best services in today's complex financial markets.