Dividend stocks: Shares of some companies, including Tata Consultancy Services, will trade ex-dividend in the coming week, starting from Monday, January 12.
Some other companies will also trade ex-bonus and ex-split in the coming week, according to the BSE calendar.
What is ex-dividend date?
The ex-dividend date is when the share price adjusts to account for the upcoming dividend payment. It marks the day the stock becomes ex-dividend, meaning it no longer includes the value of the next dividend from that date onwards. Dividends are paid to all shareholders recorded on the company’s list by the end of the record date.
The following are the stocks that have declared dividends in the upcoming week:
Jaro Institute of Technology Management and Research Ltd – Interim dividend of ₹2 on January 16.
TAAL Tech Ltd – Interim dividend of ₹35 on January 16.
Tata Consultancy Services (TCS) – Interim dividend on January 16.
What is a stock split?
A stock split is a corporate action where a company issues extra shares to shareholders, usually to boost liquidity, as share prices typically fall after the split. The total shares outstanding increase according to a set ratio based on previous holdings. Despite this, the overall value of the investment stays unchanged.
The following are the stocks that have declared a stock split in the upcoming week:
SKM Egg Products Export (India) Ltd: The company will undergo a stock split from ₹10 to ₹5. Shares will trade ex-split on Monday, January 12.
Kotak Mahindra Bank Ltd: The company will undergo a stock split from ₹5 to ₹1. Shares will trade ex-split on January 14.
Ajmera Realty & Infra India Ltd: The company will undergo a stock split from ₹5 to ₹1. Shares will trade ex-split on January 15.
Best Agrolife Ltd: The company will undergo a stock split from ₹10 to ₹1. Shares will trade ex-split on January 16.
What is bonus issue?
The issue of bonus shares is a corporate action where additional shares are issued to existing shareholders. A company may choose to issue more shares instead of paying dividends. In a bonus issue, the number of shares increases, but the overall value of the investment remains unchanged. The share price is adjusted accordingly; therefore, the value of the holding stays the same.
The following are the stocks that have declared a bonus issue in the upcoming week:
Authum Investment & Infrastructure Ltd: The company declared a bonus issue in the ratio 4:1. Shares will trade ex-bonus on January 13.
Best Agrolife Ltd: The company declared a bonus issue in the ratio 1:2. Shares will trade ex-bonus on January 16.
Disclaimer: This story is for educational purposes only. The views and recommendations above are those of individual analysts or broking companies, not Mint. We advise investors to check with certified experts before making any investment decisions.
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