Jindal Group Stock: Bonus Shares To Be Declared On 7th Jan 2025; Optimal Time For Buying?

With operations in India, Jindal Worldwide is the industry leader in textiles in India. Near Ahmedabad is where Jindal Industries is situated. Its facilities are dispersed over four production plants. Globally, it has customers in Europe, Africa, the Middle East, South America, and North and South America. With a market value of Rs 8,331.62 Cr, Jindal Worldwide's shares closed Tuesday at Rs 415.50 each, down 2.89%. This followed the company's announcement that bonus shares will shortly be announced by the Board of Directors.

Jindal Worldwide Bonus Shares

The company has notified the exchange that a board meeting to discuss and approve a bonus or increase in authorised capital is scheduled for January 7, 2025.

"It is hereby informed that the Trading Window for dealing in the securities of the Company by the "Designated Personnel" shall remain closed from 16th December, 2024 till 48 hours of the public announcement of outcome of Board Meeting scheduled to be held on Tuesday, 07th January, 2025, inter alia to consider a proposal of issue of Bonus Equity Shares. Accordingly, all Designated Personnel of the Company have been informed not to trade in the securities of the Company during the aforesaid period of closure of Trading Window," said Jindal Worldwide in a stock exchange filing.

Jindal Worldwide Financials

With a 45.68% rise in operating revenue to Rs 570.80 crore in Q2 FY25 compared to Q2 FY24, the company's consolidated net profit increased by 35.92% to Rs 17.33 crore. Compared to Rs 16.26 crore reported in the same quarter previous year, profit before tax (PBT) climbed 45.08% to Rs 23.59 crore for the quarter that ended on September 30, 2024. During the quarter, EBITDA was Rs 48.4 crore, representing a 38.3% increase over the Rs 35 crore recorded in Q2 of FY24. From 8.93% in Q2 FY24 to 8.48% in Q2 FY25, the EBITDA margin shrank 45 basis points.

Jindal Worldwide Share Price Target

Hardik Matalia - Derivative Analyst at Choice Broking said, "JINDWORLD is currently trading at Rs 416 and remains in a strong long-term uptrend. Over the past few months, the stock has been consolidating within a wide range, reflecting indecisiveness among market participants. Notably, the stock is trading close to its all-time high levels, signaling strong underlying momentum and investor interest. The stock is now on the verge of breaking out of this prolonged consolidation range. If JINDWORLD manages to sustain above the Rs 435 mark, it could trigger a significant upside move, paving the way for higher levels."

"Traders can consider buying above Rs 435 for potential gains. On the downside, the Rs 380 level serves as strong support, providing a cushion during any corrective moves. The stock continues to trade above its key moving averages across the short-term (20-day), medium-term (50-day), and long-term (200-day), indicating a bullish structure. The RSI (Relative Strength Index) is currently at 68.74, showing a sideways trend. This suggests the possibility of a brief time-based or price-wise correction before the next decisive move. Overall, JINDWORLD presents a promising technical setup, with the Rs 435 mark as a crucial trigger for further upside," the analyst commented.

"Jindal Worldwide stock price is slightly bearish & also overbought on the Daily charts with strong resistance at 432. Investors should be booking profits as a Daily close below support of 383 could lead to 321 in the near term," stated A R Ramachandran, Independent Research Analyst.

Disclaimer

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