This largecap auto ancillary player will trade ex-bonus on Monday; stock gains over 3%

Shares of Samvardhana Motherson International rose over 3% to Rs 109.3 ahead of its ex-bonus on Monday.

The largecap auto components entity, in its board meeting in August, recommended the issuance of bonus shares in the ratio of 1 bonus equity share against two existing equity shares. Accordingly, investors who hold the scrip of Samvardhana Motherson in their Demat account as of the record date, i.e. October 5, will be entitled to receive the bonus shares as per the prescribed ratio of 1:2.

The stock of Samvardhana has been a laggard with a negative annual return of -52%, while the Nifty Auto during the same time gained over 18%.

Of the 21 analysts covering the stock, 10 recommend a strong buy, shows the Trendlyne data. The highest estimated share price target on the stock is Rs 265, a potential upside of 143% from the current price.

Samvardhana Motherson International, formerly

, is a largecap company with a market capitalization of over Rs 49,000 crore. The company is into manufacturing components for the transport and automotive industries.

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)

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