Shares of Inox Wind Ltd. jumped to a fresh record high for the second time this week after its board proposed the issuance of three bonus shares for an existing share of the company.
The stock has gained consecutively in five sessions, adding 16.8%. It hit a lifetime high on Tuesday, a day after the company said it would consider a bonus issue on April 25.
The issuance of bonus shares will not only bolster the company's capital base without any cash outflow, but will also enhance the liquidity of Inox Wind's shares, broadening the participation of a wider set of investors, according to an exchange filing.
Shares of the company rose as much as 9.21% to hit record high of Rs 648 apiece. It pared gains to trade 5.26% lower at Rs 634.45 apiece as of 2:24 p.m. This compares to a 0.84% advance in the NSE Nifty 50 Index.
The stock has risen 27.06% on a year-to-date basis and nearly 500% in the last 12 months. Total traded volume so far in the day stood at 5.38 times its 30-day average. The relative strength index was at 71.19, indicating that the stock may be overbought.
Four analysts tracking the company have a 'buy' rating for the stock, according to Bloomberg data. The average 12-month consensus price target implies an upside of 4.3%.
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