Minda Industries posted good quarterly numbers and recorded growth.
Auto ancillary stock Minda Industries gained 3% today after announcing bonus shares.
Yesterday, the company announced bonus share in the ratio of 1:1.
The company’s board approved the issuance of bonus shares in May 2022, while announcing the impressive results.
The record date for the same was 10 June 2022. This means that the shareholders who are holding shares as on the record date will be entitled to receive bonus shares.
The issue of bonus shares helped in increasing the liquidity of the stock.
Corporate action events such as bonus issues and stock splits Often bring about material changes in a company through changes in capital structure.
In terms of bonuses, they may sound like a good thing, but they don’t really give investors anything they didn’t already have.
In essence, it is a way of dividing the same company into a greater number of shares and distributing these additional shares to the shareholders proportionately.
Note that the auto industry faced serious concerns such as semiconductor Shortage, rising input costs, among other reasons.
Despite all this, Minda Industries posted good quarterly numbers and recorded growth.
A word about Minda Industries
Minda Industries, a flagship company of the NK Minda Group, is one of the most diversified auto component manufacturers in India.
It is a technology leader in the auto components industry and a leading Tier-1 supplier of proprietary automotive solutions to OEMs.
Its market leadership is remarkable. The company is the largest switch player in India and the second largest globally in the horn segment. It is also the third largest automotive lighting player in India.
Be it manufacturing plants or R&D centres, Minda Industries has expanded its reach globally. It has about 71 manufacturing plants and 10 R&D centers around the world.
Dividend
Apart from rewarding the shareholders with bonus shares, the company had also declared dividend.
For the financial year 2021-22, the company declared an interim dividend of Rs 0.5 per share, while recently it declared a final dividend of Rs 1 per share.
The record date for the last dividend is 8 July 2022.
Minda Industries consistently paying dividends, Take a look at the table below which shows the dividend history of the company:
How Minda Industries has performed recently
Share price of Minda Industries opened up 2.3% at Rs 507.9, from the previous close of Rs 496.
The company has touched a 52-week high of Rs 630 on December 29, 2021, while it has touched a 52-week low of Rs 315 on July 9 last year.
The company’s shares have gained 60 per cent in the past one year.
In 2022, Minda Industries’ share price is down 17%.
Know here an interesting thing about Minda Industries…
It is one of the biggest wealth builders in the last decade. Minda Industries is one of those stocks which converted Rs 1 lakh into Rs 1 crore in 10 years.
While the company tasted success between 2014 and 2018, when its share price skyrocketed, the real gains came after April 2020 when markets took into account the EV adoption factor.
Minda Industries is one of the Top Electric Vehicle Stocks in India which has formed joint ventures for its EV products.
Disclaimer: This article is for informational purposes only. This is not a stock recommendation and should not be treated as such.
This article is syndicated from Equitymaster.com
(This story has not been edited by NDTV staff and is auto-generated from a syndicated feed.)