Patanjali Foods's shares surge ahead of bonus decision
Patanjali Foods's stock shot up 8% in just two days, hitting ₹1,813.60, after news broke about a board meeting to discuss its first-ever bonus shares.
Investors are buzzing—just on Tuesday, the stock jumped 4% as people rushed to buy in ahead of the decision.
Why investors are betting big on the stock
Bonus shares usually mean more liquidity and a vote of confidence from management.
For young investors or anyone watching the market, it's worth noting that promoters hold nearly 70% of Patanjali Foods, while public investors—including mutual funds—own the rest.
Analysts see more room for growth too: Trendlyne pegs the target price at ₹2,116 over a year, hinting at a possible 21% upside from here.
What you should know about Patanjali Foods
Patanjali Foods used to be Ruchi Soya before its big rebrand in 2022 and has been working to pay down debt and reward shareholders with regular dividends.
This move toward bonus shares feels like another step in making the company more attractive for everyone holding—or thinking about buying—the stock.