Narmada Macplast Share Price Appears Down 80% as Stock Trades Ex-Split

Ahmedabad, October 17: Narmada Macplast Drip Irrigation Systems Limited share price opened 80% lower today, on October 17. The share price, which closed at ₹157.10 on October 16, fell around 80% and was appearing at ₹31.40 at the market close. However, investors need not worry as the apparent fall in the share price is not real monetary loss, but just an adjustment as the shares are trading ex-split today. In reality, the share price is up by 4.94%, or 1.55 points, and currently it is trading at ₹32.95.

Narmada’s ₹10 to ₹2 Stock Split

The apparent fall in the share price comes after the share adjusted today to the ₹10 to ₹2 stock split. This means that for every 1 share, eligible shareholders will receive 5 new shares of the company. They will receive 10 new shares for every 2 shares they hold and so on. However, as the company credits more shares, the share price falls in proportion to the stock split ratio. This happens to ensure that investment value for investors remains the same, even when they now have more shares of the company.

Hence, in the case of Narmanda Macplast, the share price has reduced by one-fifth, as investors have received 5 new shares. However, this will have no change in the investment value of shareholders, nor will it affect the market cap of the company.

Shares Up By 50,000% In Last Five Years

The Narmada Macplast share price has risen significantly over the years. This is mainly because more people are buying its irrigation products, and its plastics business is performing well. In the last five years, the stock has risen more than 50,000%, making it one of the best-performing stocks in its industry. The rise is also seen in the short term, with shares up 3,200% in the past year and over 537% in just the last week.

Narmada Macplast Drip Irrigation Systems Limited is an Indian company that manufactures micro-irrigation systems. The company was established in 1982 and is headquartered in Mumbai, Maharashtra. The shares of the company are listed on BSE with the code 517431.

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