HDFC Bank, the country’s largest private bank, has decided to give bonus shares to its investors.
The company has fixed 27 August as the record date for this bonus issue. Investors are now wondering whether it is the right time to invest in HDFC Bank shares.
The bank has announced that one bonus share will be given for every one share held by eligible investors.
Record Date for Bonus Issue
According to the information submitted to the exchange, the bank will issue bonus shares in the ratio of 1:1. This means if an investor holds 10 shares, they will receive 10 additional shares for free.
To be eligible, the investor’s name must appear in HDFC Bank’s record book on 27 August, which is the fixed record date.
Just last month, HDFC Bank had also traded ex-dividend and given a special dividend of ₹5 per share to eligible shareholders.
Expert Opinion: Should You Buy Now?
Ganesh Dongre, Senior Manager of Technical Research at Anand Rathi, said that HDFC Bank shares have shown strong momentum after crossing the key level of ₹1850 on the chart pattern.
In the short term, the stock could move towards ₹2050–₹2100, but investors are advised to keep a stop loss at ₹1850.
Share Price Performance
On Friday, HDFC Bank shares closed at ₹1964.75 on the BSE, down by 1.28%. Over the last one year, the stock has gained more than 20%.
The bank’s 52-week high is ₹2036.30, while the 52-week low is ₹1613.40. Currently, the company’s market capitalization stands at ₹15,08,346.39 crore.