New Delhi: The shares of Affle India which is a technology platform on Thursday hit upper circuit for second day post stock split.
The Affle India shares were split on September 7, 2021 following the meeting held on September 23, where the Board of Directors and the shareholders gave approval for sub-division of shares. Its shares price has been adjusted to one-fifth as today is the last date of stock distribution.
The company's upper circle fell 5 percent on the BSE for the second day in a row on Friday after the stock burst. The shares of Affle India were divided in the ratio of 1: 5, i.e. one (1) share of shares equal to 10 shares was subdivided into five equity shares of equal value of Rs 2 face value each. The company said the purpose of the stock allotment is to facilitate large shareholders and facilitate liquidity.
Meanwhile, most of the investor would be very happy as the share price of Affle (India) Limited has risen 119 percent in the last one year. On top of that, the stock price has risen 32 per cent in almost a quarter.
However, the businesses typically grow over the long term, so last year's returns may not reflect long-term trends.
After posting tangible gains in the past week, it's worth seeing that long-term returns are driven by improvements in infrastructure.
Over the past year, Affle (India) has increased its earnings per share (EPS) by 112%. However, EPS increase is not far from the share price increase (119%).
Reportedly, in November 2019, Global brokerage firm Nomura had advised to buy this stock with a target price of Rs 1,900.