• Source:JND
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Shares of IOL Chemicals & Pharmaceuticals surged more than 5% on Monday and touched an intraday high of Rs 431.35 on the BSE. The stock opened positively at Rs 415.70, indicating rising investor interest. Today's rally in the stock was led by the announcement of a 5:1 stock split and a reduction in the face value of the shares from Rs 10 to Rs 2 per share. The move was disclosed in a stock exchange filing on December 27. However, the company has yet to finalize the record date of the stock split.

Dividend payments

IOL Chemicals & Pharmaceuticals has maintained a consistent dividend payment record throughout its history. After paying a dividend of ₹4 each for 2023 as well as 2022, the company declared a dividend of Rs 5 in 2024.

Stock Performance: Mixed for shareholders

Investors have seen nothing exciting about the stock in the past year when it has fallen 9% on the BSE. Its 52-week high is ₹537 while its 52-week low is ₹333 per share. Long-term returns have been quite moderate. This stock offers a two-year return of 12% but a loss of 8% for a three-year investor. However, those who have held the stock for five years have enjoyed a return of 140%. The stock still lags the healthcare index's 233% rise over the same period.

Expectations after the stock split

The stock split aims to boost liquidity and make the shares more accessible to retail investors. Although the company’s recent performance has been underwhelming, consistent dividends and initiatives such as stock splits can certainly help rebuild investor confidence.

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Disclaimer: This is a piece of news about the recent development in the stock. Jagran does advise investing, please take experts opinion before investing.