1:2 Split: After splitting, investors’ money in electrical stocks doubles, from Rs 50K to Rs 1.2 Lakh in a year

The price of a share of Bharat Bijlee has divided in half, allowing investors to hold twice as many shares in their portfolio at a lower cost. But Bharat Bijlee has accomplished more than that! Riding on the backs of bulls, Bharat Bijlee shares have also more than quadrupled investors’ money in less than a year as of the conclusion of the trading week on April 26.

With a 1:2 stock split, we’re talking at returns of 146%, to be exact.

Following the split-up, the market value of Bharat Bijlee shares is Rs 3,654.47 crore, or Rs 3233.15 a share. The BSE small-cap electrical stock had a 3.3% increase alone on April 26.

Its 52-week high and low are respectively Rs 3,538.95 and Rs 1,314.13 per share. When comparing the current market price to its 52-week low, Bharat Bijlee shares have increased by an astounding 146.03%.

An investor’s corpus has now increased to Rs 1,23,010 if they had purchased Bharat Bijlee shares at the company’s 52-week low for Rs 50,000. Consequently, the investors’ Rs 50,000 investment has yielded a profit of Rs 73,010.

According to BSE statistics, the stock’s price-to-equity ratio is now 16.65x, and its profits per share are Rs 52.54.

On April 24, 2024, Bharat Bijlee became ex-split in order to ascertain the eligibility of the Company’s shareholders for the Sub-division / Split of the Existing 1 (One) Equity Share of Face Value of ₹ 10/- (Rupees Ten only) each, Fully Paid Up, into 2 (Two) Equity Shares of Face Value of ₹ 5/- (Rupees Five only) each, Fully Paid Up, Ranking Pari Passu in All Respects. Such a move was approved by the Company’s shareholders on Thursday, March 21, 2024, via postal ballot.

The share split ratio is thus 1:2.

India-based Bharat Bijlee is a well-known provider of electrical engineering services. Power Transformers, Projects, Electric Motors, Magnet Technology Machines, Drives, and Industrial Automation Solutions are its main business sectors. It was founded in 1946.

The business serves a wide range of sectors, including those involved in the creation of the country’s infrastructure, including electricity, refineries, steel, cement, railroads, machinery, construction, and textiles.

Additionally, the company’s Power Transformers, Electric Motors, Elevator Systems, and Drives & Industrial Automation businesses are supported by a vast sales and service network across India. It caters to global markets as well.