CDSL Shares Plummet 48% on Ex-Bonus Day
Mumbai, India – Central Depository Services (India) Ltd (CDSL) shares took a significant dive on August 23, 2024, as the stock went ex-bonus. The stock price dropped by nearly half, from Rs 2,898.10 to Rs 1,500, reflecting the anticipated dilution due to the bonus issue.
The bonus issue, announced in July, was a 1:1 ratio, meaning shareholders received one free share for every share they held. The record date for the bonus was set for August 24. This event doubled the number of CDSL shares in circulation, consequently reducing the stock’s price. However, the company’s market capitalization remained unaffected.
Despite the price drop, CDSL shares rallied over 6% post-adjustment, reaching a 52-week high of Rs 1,559. The company’s strong fundamentals and growth prospects likely contributed to this rebound.
Key Highlights:
- Significant Price Drop: CDSL shares fell 48.24% on the ex-bonus date.
- 1:1 Bonus Issue: Shareholders received one free share for every share held.
- Record Date: August 24, 2024.
- Market Capitalization: Unaffected by the bonus issue.
- Post-Adjustment Rally: Shares gained over 6%.
CDSL’s recent financial performance has been impressive. The company reported an 82% increase in net profit for the quarter ended June 2024, reaching Rs 134.20 crore. Revenue also surged by 72% to Rs 257.38 crore during the same period.
As CDSL continues to expand its services and capitalize on the growing Indian securities market, investors will be closely watching its future performance to gauge the long-term impact of the bonus issue on the stock price.