1:10 Stock Split Approved: Record Date Shall Be Decided; Ticket To Big Gains?

Formerly called Transpek Finance Ltd., Optimus Finance Limited (OFL) was established in 1991 under the Companies Act of 1956 and has its registered office in Vadodara, Gujarat, India. The stock is listed on BSE. OFL is an NBFC registered with the RBI. Currently, OFL is primarily focused on trading and investing in mutual funds and marketable securities. Following the company's announcement of a 1:10 stock split, Optimus Finance's shares finished Friday at a 5% upper circuit limit at Rs 243 per share on the BSE, with a market valuation of Rs 173.06Cr.

Optimus Finance Stock Split

The Board of Directors considered and approved "sub-division/split of existing 1 [One] Equity Share of the Company having face value of Rs. 10/- [Rupees Ten only] each into 10 [Ten] Equity Shares having face value of Re. 1/- [Rupee One only] each fully paid-up, subject to approval of Members of the Company. The Record Date for the purpose of the sub-division/split of Equity Shares shall be decided post approval of the Members of the Company and the same will be intimated in due course," said Optimus Finance in a stock exchange filing on Thursday, 16th January 2025.

The purpose of the stock split is to enhance the liquidity of the company's equity shares and to encourage the participation of retail investors at large by making equity shares of the company more affordable as per Optimus Finance.

Optimus Finance Financials

The company's net sales for the September 2024 quarter were Rs 0.38 crore, increasing 27.26% from the September 2023 quarter's Rs 0.30 crore. Its net profit decreased 91.68% from Rs. 1.87 crore in Q2FY24 to Rs. 0.16 crore in Q2FY25. In the quarter ended in September 2024, EBITDA was Rs. 0.21 crore, rising 23.53% from Rs. 0.17 crore in the same quarter of the previous fiscal.

Optimus Finance Share Price Target

"Optimus Finance stock price is bearish on the Daily charts with strong resistance at 241. A Daily close below support of 212 could lead to a target of 188 in the near term," commented A R Ramachandran, Independent Research Analyst.

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