Bajaj Finance Stock Price Now Reflects The Stock Split And Bonus Issue

Mumbai, June 16, 2025: Bajaj Finance shares opened at ₹956 apiece on June 16, significantly lower than the previous close of ₹9,331, and were trading at ₹933 at around 10:45 A.M. This price drop is not indicative of a loss in company value, but rather a result of stock restructuring. After factoring in the adjustments, the stock was actually down just 0.7% in early trade, in line with broader market trends.

Understanding the Adjustment:

The company had earlier announced a 4:1 bonus issue and a 1:2 stock split on April 29, 2025. Here’s how it works:

• Bonus Issue (4:1): Shareholders received 4 bonus shares for every 1 share held.
• Stock Split (1:2): Each share was split into 2, effectively doubling the number of shares.

This means that for every 1 share held as of the record date, an investor now effectively holds 10 shares. This is due to the 1:2 stock split (doubling shares) followed by a 4:1 bonus issue (quadrupling shares further). For example, 10 original shares would become 20 after the split, and then 100 after the bonus issue. The total value of the investment remains the same, but it is now spread across a larger number of shares, proportionally reducing the price per share.

A shareholder owning 10 shares as of the record date, June 16, would receive:

• 40 bonus shares (from the 4:1 bonus issue),
• bringing the total to 50 shares,
• which would then be split into 100 shares post-split.

Shareholder Rewards and Strong Fundamentals:

Beyond the stock restructuring, Bajaj Finance has also rewarded shareholders with a final dividend of ₹44 per share and a special dividend of ₹12 per share for FY25, totalling ₹56. The final dividend’s record date was May 30, with an expected payment around July 28. The special dividend was already paid on or around May 26.

Bajaj Finance’s Q4FY25 results reaffirmed its strong fundamentals:

• Net profit rose 17% YoY to ₹4,480 crore.
• Revenue from operations stood at ₹18,457 crore.
• Net interest income grew 22% YoY to ₹9,807 crore.
• AUM grew 26%, and new loan bookings jumped 36% YoY.

What’s Ahead?

The sharp drop in Bajaj Finance’s share price is a technical adjustment and not reflective of any negative development. Investors are advised to understand the bonus and split mechanism before reacting to the adjusted price. Bajaj Finance is expected to maintain investor interest with its strong fundamentals and attractive shareholder rewards.

Disclaimer:  At HDFC SKY, we take utmost care and due diligence in curating and presenting news and market-related content. However, inadvertent errors or omissions may occasionally occur.

If you have any concerns, questions, or wish to point out any discrepancies in our content, please feel free to write to us at content@hdfcsec.com.

Please note that the information shared is intended solely for informational purposes and does not make any investment recommendations