BSE Share Price Rises For Fourth Day; Stock Surges 8% Since Bonus Announcement

Shares of BSE Ltd. extended gains for the second consecutive trading session on Tuesday. The stock has risen 8% since the announcement of bonus share issue in March. The exchange had approved a bonus issue of two shares for every existing equity share held.

BSE's share price jumped over 5% intraday, outperforming the benchmark Nifty 50, which was trading at a 2% hike.

This marks the second instance in three years that BSE has opted to issue bonus shares in this ratio. Back in February 2022, the company had issued an identical bonus issue, providing shareholders with two additional shares for each share they owned.

The specific record date for identifying shareholders eligible for this bonus issue is yet to be announced by the company.

BSE has distributed dividends on 22 occasions in addition to the two bonus share issues.

BSE share price advanced 5.37% intraday to Rs 5,948 apiece, the highest since April 3. The scrip was trading 5.35% higher at Rs 5,947 by 11:07 a.m. The benchmark NSE Nifty 50 was up 2.1%.

The stock has risen 112.55% in the last 12 months and 11.13% on a year-to-date basis. The relative strength index was at 66.

Twelve out of 14 analysts tracking BSE have a 'buy' rating on the stock, and two recommend a 'hold', according to Bloomberg data. The average of the 12-month analysts' price target of Rs 6,028 implies a potential upside of 1.4%.