Multibagger Stock Giving Bonus for the 6th time

Bonus Issue and Stock split both are working as a silent game changer in your long-term investment.

Here we are going to discuss that multibagger stock which announced the 6th time Bonus Issue in the last 10 years.

If you invested ₹10,000 in this stock 10 years ago then you have Rs. 4 lakh 20 thousand now. Also, you get ₹42,000 as a dividend from it.

Bonus Issue History

So as you can see companies bonus history is amazing.

Now let your suspense end here.

The company name is Samvardhana Motherson.

Samvardhana Motherson International’s name changed from Motherson Sumi Systems.

Samvardhana Motherson Bonus Issue News

On 16th Aug after India’s 75th Independence day Samvardhana Motherson a well-known multibagger announce its bonus issue news for the 6th time in the last 10 years.

Company Annouced 1:2 Bonus Issue.

Means you will get 1 share for every 2 existing shares.

Ex date or record date is currently not announced. Once announced will update.

Shares of Samvardhana Motherson jumped 3% on this news.

Samvardhana Motherson Return History

As you can see 1year & 5year return of the stock is in negative. As of the current market correction, it falls from ₹257.80.

But if we look at its 10year chart then the picture is different.

So as you can see it was at ₹23.42 10 years before. After 50% correction, it is still more than 5x.

But that does not end here.

Now come to the dividend point.

Samvardhana Motherson has a dividend yield of 0.53%. Which looks very small but effective.

As you can see company gives dividends regularly.

Now let’s see if you invest ₹10,000 in this stock 10 years ago.

On 2012 its share price was at ₹23.42. So if you invested ₹10,000 then you get 427 stocks.

2012 – 1:2 bonus issue – (427+213) = 640 shares

2013 – 1:2 bonus issue – (640+320) = 960 shares

2015 – 1:2 bonus issue – (960+480) = 1440 shares

2017 – 1:2 bonus issue – (1440+720) = 2160 shares

2018 – 1:2 bonus issue – (2160+1080) = 3240 shares

So currently you have 3240 shares whose valuation is ₹4,20,000.

Your ₹10,000 is now 4 lakh 20 thousand in just 10 years.

And you get dividend so far a total of (1440+1920+2400+4320+3600+4320+7290+4860+4860+4860+2106) = ~₹42,000

If want to know about ongoing or upcoming Bonus Issue Updates then you can visit our “Upcoming Bonus Shares” page regularly.

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