TCS share price slips as stock turns ex-bonus today
TCS share price slipped as much as 1.8 per cent to Rs 1726.10 intraday, but settled 0.8 per cent lower at Rs 1744.80 on the BSE. By comparison, the Sensex finished Thursday's session 1.19 per cent or 416 points higher at 35,322.38.
Tata Consultancy Services share price slipped 2 per cent on Thursday as the country's largest software services firm turned ex-bonus today. The IT major announced a 1:1 bonus for its shareholders on its 50th anniversary. With this, TCS share price will halve in value.
The scrip slipped as much as 1.8 per cent to Rs 1726.10 intraday, but settled 0.8 per cent lower at Rs 1744.80 on the BSE. By comparison, the Sensex finished Thursday's session 1.19 per cent or 416 points higher at 35,322.38.
A share is called as “ex-bonus” when a buyer does not get the right to receive the current bonus. In other words, if the stock turned ex-bonus today, only those investors who held TCS shares as of Wednesday will be eligible to receive the bonus shares. TCS has set June 2 as the record date to offer bonus.
This will be the third bonus offering by the company since its listing in 2004. F&O of TCS will also adjust to the price from Thursday.
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The IT firm reported a strong set of numbers in the March quarter, backed by all-round growth in key verticals and geographies, and digital services and solutions. The company posted double-digit revenue growth in dollar terms in Q4 for the first time in the last 12 quarters.
Last month, TCS became the first Indian IT company to cross the $100 billion mark in market capitalisation (m-cap). Earlier this month, the stock hit its lifetime high with the market capitalisation surging past Rs 7 lakh crore. On Thursday, the company's market value stood at Rs 6.68 lakh crore.