Shares of Central Depository Services Limited (CDSL) rose over 10% in early trading on Friday after the company announced its board would meet on July 2 to discuss issuing bonus shares to shareholders. The stock climbed 10.15% to Rs 2160 from the previous close of Rs 2006.20, bringing CDSL’s market cap to Rs 23,057 crore on NSE. Notably, the stock is not listed on BSE.
A total of 47.74 lakh shares were traded, amounting to a turnover of Rs 1036.5 crore. The stock has a beta of 0.9, indicating average volatility over the past year.
Technically, the relative strength index (RSI) of CDSL is at 42.3, indicating it is neither overbought nor oversold. The shares are trading above their 5-day, 10-day, 50-day, 100-day, 150-day, and 200-day moving averages.
This marks the first time the company will consider issuing bonus shares, as stated in a communication to the stock exchanges. The record date for the bonus issue is yet to be determined.
“A meeting of the Board of Directors of Central Depository Services (India) Limited (CDSL/Company) is scheduled to be held on Tuesday, July 02, 2024, inter alia, to consider and approve the proposal for issuance of Bonus Shares, if any, subject to the approval of the shareholders of the company,” the company said in a filing.
Central Depository Services (India) is a depository registered with SEBI, established to provide convenient, dependable, and secure depository services at an affordable cost to all market participants.