I see that Bonus impact will make the stock to trade lower as much as 50%. i.e.) after RIL bonus issue of 1:1, the stock will trade at 1000 rs (if its trading at 2000/share). pls correct me if iam wrong..
But i see Jiondal steel and power had announced a Bonus of 1:5 and everybody received their shares too but it didnt get fall but its surging like anything day by day...
I didnt understand the logic here.. without any additional investment, every Jindal steeel n power share holders will now have an asset of 1x5 amount..
After bonus you can expect RIL to come down to 800rs on the upper side, if its trading at 2000/share.
As for jindal steel, the consumption and demand for steel has gone up and the company is operating in the GREEN. If you do a little background check on the comp you will understand why its still surging ahead.
Thanks for ur quick turnaround...
May i know ur view on Jindal saw... will the same happen again.. Iam yet to gain the background on Jindal family.. just started after hearing these info in couple of weeks...
Split or bonus is one thing and company`s operating performance is another.I think the share price normally shoots up before announcement of bonus/split and then prior to record date.Jindal saw sales this qtr were dismal (yoy),but profit was good(up40%).There 9month performance is good.Should keep on performing well if market sentiment remains good.Next target 800 shortly.
| NIFTY 
