Shares of IT major Wipro climbed 1.19% to ₹563.80 on the NSE at 9:47 AM, following the company’s announcement of a 1:1 bonus issue. This move has created significant buzz in the market, as investors gear up to receive 1 free equity share for every 1 fully paid-up share held.
Wipro Bonus Issue Details:
- Record Date: Wipro has set December 3, 2024, as the record date to determine the eligibility of equity shareholders for the bonus issue.
- Ratio: Shareholders will receive 1 bonus share for every 1 share held.
- Face Value: Each bonus equity share will have a face value of ₹2.
- Historical Track Record: Wipro has a strong history of rewarding shareholders with bonus issues, including a 1:3 ratio in March 2019, a 1:1 issue in June 2017, and a 2:3 issue in June 2010. Earlier, the company had also issued bonuses in ratios of 1:1 and 2:1 in 2005 and 2004, respectively.
Market Sentiment:
While the market has responded positively to the bonus announcement, analysts’ recommendations remain mixed. The highest target price for the stock is set at ₹575, reflecting cautious optimism about its future trajectory.
Outlook:
The bonus issue is seen as a strategic move to reward investors and boost liquidity in the stock. With Wipro’s consistent track record of bonus issuance, shareholders are likely to see this as a reaffirmation of the company’s shareholder-centric approach.
Wipro’s upcoming bonus issue adds to its appeal, particularly for long-term investors, as the IT giant continues to strengthen its position in the competitive technology sector.
