what is stockslit?
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Answer / sai
stock split means increasing the number of sheres and decreasing the value of shares but not changing the value of share capital
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Answer / gaurav chhibba
this is actualy stock split -sock split means when a company split or divide its share into small denomination i.e A comapny split its Share of face value ₹ 10 each and market value is 1500 each into five share . it means now the face value of each share is ₹ 2 each and market value will be 1500/5= ₹300 each .
remember there is no change in Actual value or Share capital of company. The stock split is done by the company to increase the liquidity of share and to attract the retail /small investor to invest in the stock. Now in these day SBI ,ICICI ,PNB bank also done the stock Split
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Answer / bijja rakesh
Stock split
The main intention of stock split is to attract the investor.
Stock split are two types one is forward split and another is reverse split
Forward split for one share company will issue 3 shares i.e 1:3
reverse split for 3 shares company will issue 1 shares
Here in forward split if shares are increasing the value of the share price is decrease and vice verse for reverse split.
Is This Answer Correct ? | 5 Yes | 1 No |
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