We all like weekends. Two days off after a long work week is just what we need. But you know what's better than a weekend? A long weekend! A weekend is good but a long weekend is more fun.Just like people look forward to an extra day off from work, investors also look forward to companies declaring bonus shares and stock splits.A bonus share is an additional share that a company issues to its existing shareholders at no cost, based on the number of shares they already hold.This means that an investor who holds 100 shares of a company receiving a 1:1 bonus share will now hold 200 shares without having to pay anything for the new shares.On the other hand, a stock split is when a company divides its existing shares into multiple shares while maintaining the overall value of the shares.For example, a company that has 1,000 shares trading at Rs 100 per share may decide to split its shares into 2,000 shares trading at Rs 50 per share.Bonus shares and stock splits are exciting events because they have a material impact on the company's stock price. Shares of the companies declaring bonus shares or stock splits continue to remain in focus for at least a month after their corporate action activity.In today's article, we'll take a look at five companies to watch out in May 2023. These companies have either declared bonus shares or stock splits in May 2023.#1 Vardhman Special SteelFirst on the list is Vardhman Special Steel.Vardhman Special Steels is a producer of special and alloy steels in India. The company mainly caters to special and alloy steel hot rolled bars for engineering, automotive, tractor, bearing, and allied industries.The company's board announced bonus shares on 12 April 2023.It will issue bonus shares in a ratio of 1:1. This means one new bonus share for every existing shares in the company.The record date for the same is 05 May 2023.The company's revenues increased significantly in June 2022 quarter. During the said quarter, revenue was up by 30%, sequentially.However, after that the company's revenue has declined constantly. From June 2022 to December 2022 the company's revenue declined by 13%.The company faced strong headwinds due to rising input costs. However, the company managed to come out of the danger zone based on bright business prospects.It aims to make Japanese quality steel in India for Indian auto majors and ASEAN region and to reduce manufacturing costs by reducing and the eliminating waste.#2 Salasar Exterior and ContoursSecond company on the list is Salasar Exterior and Contours.Salasar Exterior and Contours is an India based civil construction company engaged in business of exterioir and interior design and civil work.The company offers commercial premises management activities such as wall painting, furniture making, civil works, and other architectural related solutions.The company's board on 18 April 2023 approved the stock split of shares in a ratio of 1:10. This means that each share of Rs 10, will now be converted into 10 shares of Rs 1 each.For example, if before stock split an investor had 10 shares of Rs 10, then after the stock split, he will have 100 shares of Rs 1.The record date for stock split 03 May 2023.During financial year 2022, the company recorded a total income of Rs 72 million (m) compared to Rs 121 m reported during previous year. It reported a net profit of Rs 28 m during financial year 2022 as against a net loss of Rs 14 m reported during the financial year 2021.#3 Sprayking Agro EquipmentNext on the list is Sprayking Agro Equipment.Sprayking Agro Equipment is an emerging leader in brass parts manufacturing, including brass fittings, brass forging equipment, brass transformer parts, and other customized brass parts. It is the first listed company in SME segment of BSE, manufacturing 100% brass parts.The company has a global presence in USA, Europe, Australia, Canada, South Africa, UAE, and India.The company's board announced bonus shares on 21 April 2023.It will issue bonus shares in a ratio of 2:3. This means two new bonus shares for every three existing shares in the company.The record date for the same is 25 April 2023. The bonus shares will be credited to the account of shareholders on 04 May 2023.The company's financial position has slackened in the last three years. Its revenues have consistently declined in the last three years. During financial year 2022, the company's total revenues fell 22%.Even when we look at the profits, the numbers are displeasing. During the said financial year, the company's profits fell 50%.The brass industry has been under a lot of pressure ever since the covid-19 period. Brass companies have low margins, lock downs, rising interest rates, and a strengthening dollar reduced the profits of companies.India is one of the biggest importers of brass in the world. Hence, the weakening rupee has the biggest impact on profit margin of brass companies because input material cost rises significantly. No wonder Sprayking Agro Equipment's profit margin suffered as of late.#4 Macrotech DevelopersFourth on the list is Macrotech Developers.Macrotech Developers was formerly known as Lodha Developers. It is among the largest real estate developers in India and has been involved in the real estate business since the 1980s.Being an Indian multinational real estate company, the company developed residential & commercial properties in Mumbai, Thane, Hyderabad, Pune, and London.The company commenced operations in Mumbai, developing affordable housing projects in the suburbs of Mumbai. It later diversified into other segments and regions in the MMR and Pune.In a statement filed with the stock exchange on 16 April 2023 the company announced that the board will meet on 22 April to consider the issue of fully paid bonus share.Considering the announcement, the board may pay bonus in the month of May.Rising interest rates took a toll on all real estate companies and Macrotech Developers was no exception.When the central bank raises interest rates, borrowing costs for buying real estate increases, as most home loans are linked to the repo rate. Thus houses become less affordable which hurts the business of the company.However, the winds are slowly changing. For the December 2022 quarter, it reported its best-ever Q3 pre-sales performance of Rs 30.4 billion (bn), showing a growth of 16% YoY on better housing demand.#5 Radhagobind CommercialThe last company on the list is Radhagobind Commercial.Radhagobind Commercial operations involve trading in fabrics. The company deals with fabrication materials, which consists of embroidery fancy sarees, fabrics, and textile dress materials. It also trades in textile goods and ancillary activities in India.The company's board, on 24 February 2023, approved the stock split of the shares in the ratio of 1:10. This means that each share of Rs 10, will now be converted into 10 shares of Rs 1 each.During Q3 of financial year 2023, the company reported a net loss of Rs 0.5 m compared to Rs 0.1 m reported in the year-ago quarter. In the December 2022 quarter as well as the year-ago December 2021 quarter, there was no revenue from operations declared by the company.Investment TakeawayIt's important to remember that these corporate actions do not guarantee success and investors should conduct thorough research and analysis before making any investment decisions.It's important to consider the company's financial health, market trends, and other factors that could impact the stock's performance.Disclaimer: This article is for information purposes only. It is not a stock recommendation and should not be treated as such. This article is syndicated from Equitymaster.com(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)