1:1 Bonus Shares vs 1:2 Stock Split: Record Date Set; Which Stock Has Higher Growth Potential?

The two stocks that will be the subject of attention today, Tuesday, February 18, are Kothari Products and Conart Engineers, because of their respective corporate actions. Conart Engineers announced a 1:2 stock split, while Kothari Products announced a 1:1 bonus share. The 19th of February is the record date for both of these announcements. For investors, let's determine which stock has the best growth potential.

Kothari Products Bonus Shares

To the eligible shareholders as of the record date on 18th February, the distribution of 29843865 bonus shares of Rs. 10/-each in the ratio of 1:1, that is, 1 new fully paid-up equity shares of Rs. 10/-each for every 1 existing fully paid-up equity shares of Rs. 10/-each, would take place on Wednesday, February 19, 2025 (T + 1). By Thursday, February 20, 2025, the next working date of allotment (T+2 day), the shares issued in accordance with the bonus issue will be accessible for trade, according to Kothari Products.

Kothari Products Q3 Financials

Kothari Products' net profit increased 18.99% to Rs 10.59 crore in the December 2024 quarter from Rs 8.90 crore in the December 2023 quarter. In the quarter that ended in December 2024, sales fell 1.97% to Rs 221.49 crore from Rs 225.95 crore in the quarter that ended in December 2023.

Kothari Products Share Price Target

"Kothari Products stock price is bearish on the Daily charts with strong resistance at 184. A Daily close below support of 170 could lead to a target of 154 in the near term," as per A R Ramachandran, Independent Research Analyst.

Conart Engineers Stock Split

"The Board of Directors of M/s. Conart Engineers Limited (The Company) has fixed a record date of 19.02.2025 for the purpose of sub-division / stock split of Rs.10/- per Equity Shares of the Company into the Equity Shares of Rs.5/- each. We hereby undertake that the Company will set up Auto Corporate Action with both the depositories - NSDL and CDSL for execution before beginning of the day (BOD) on the first date before BOD on the trading day succeeding the record date (in case of Record Date). Further, the Company undertakes to resolve any compliant on account of failure on the part of the Company to complete all formalities for execution of Auto Corporate Action," said Conart Engineers in a stock exchange filing.

Conart Engineers Q3 Financials

Ceenik Exports (India) reported a net loss of Rs 12.36 crore for the quarter that ended in December 2024, compared to a net loss of Rs 1.09 crore for the quarter that ended in December 2023. Both the preceding quarter, which concluded in December 2023, and the quarter that ended in December 2024 had no sales recorded.

Conart Engineers Share Price Target

"Conart Engineers stock price is bearish on the Daily charts with strong support at 305. A Daily close below support of 262 could lead to a target of 230 in the near term," commented A R Ramachandran.

Disclaimer

The recommendations made above are by market analysts and are not advised by either the author, nor Greynium Information Technologies. The author, nor the brokerage firm nor Greynium would be liable for any losses caused as a result of decisions based on this write-up. Goodreturns.in advises users to consult with certified experts before making any investment decision.