1:10 Stock Split: Record Date - 10th July; Buy/Sell Penny Stock Below Rs 50?

With a market valuation of Rs 12.27 Cr, Bridge Securities is a micro-cap company in the financial services industry. Bridge Securities' stock saw a 4.97% rise on Friday, closing at a fresh 52-week high level of Rs 36.51 per share, after the Board of Directors' announcement of the 1:10 stock split record date.

Bridge Securities Stock Split

"Pursuant to Regulation 42 of the SEBI (Listing Obligations and Disclosure Requirements), 2015, the Company has fixed Wednesday, 10th July, 2024 as the Record Date, for the purpose of ascertaining the eligibility of shareholders entitled for Sub-division/ Split of 1 (One) Equity share of the Company having face value of Rs. 10.00/- (Rupees Ten Only) each into 10 (Ten) Equity shares having face value of Re. 1.00/- (Rupee One Only) each," the company said in a regulatory statement.

Bridge Securities Financials

The company's net income remained flat at Rs 0.32 Cr during the quarter ended 31st March 2024. Its net expenses stood at Rs 0.02 Cr in Q4FY24 which was Rs 0.84 Cr in Q4FY23. Bridge Securities said its EBIT reached Rs 0.31 Cr in the March 2024 quarter as against Rs (-0.51) Cr in the same quarter of FY23 while the net profit was Rs 0.27 Cr in Q4FY24 as against a net loss of Rs 0.40 Cr in Q4FY23.

Bridge Securities Share Price Target

"Investment company Bridge Securities Ltd appears to be overbought at the current price point of Rs 36, with its RSI reading at 87 on daily, 78 on weekly, and 74 on the monthly timeframes. The stock has observed significant growth and has delivered a 1-year return of 469.58% (1Y) but offers zero dividend. BRIDGESE's P/E ratio of 23.74 is much higher than the sector average of 10.22, suggesting overbought conditions, while its P/B ratio of 12.67 indicates a premium valuation. Given the current market performance, I would advise that if you have a high-risk appetite and can spare some amount, you can buy it near the current price range of Rs 36 and above and average it up to Rs 28," said V.L.A. Ambala, a Research Analyst (SEBI Registered), Co-founder - Stock Market Today (SMT).

"Expect targets between Rs 45 and Rs 100 within a span of 2 to 8 months. A strict stop loss of Rs 25 should be followed. Its market capital is very low at just Rs 11 crore, placing it in the small-cap category within the securities market. Keep in mind that illiquidity and high volatility are major characteristics of such stocks, so analyze the involved risks and plan accordingly. Investors or traders with a low-risk appetite can avoid it," suggested VLA Ambala, SEBI-Registered Research Analyst.

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.