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Message from discussion Stock Queries:GAIL bonus
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Raghvendra Narendra Dhoot  
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  More options Oct 1 2008, 6:19 am
From: "Raghvendra Narendra Dhoot" <rag...@raghavs-picks.com>
Date: Wed, 1 Oct 2008 06:49:14 +0530
Local: Wed, Oct 1 2008 6:19 am
Subject: Stock Queries:GAIL bonus
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Q.You have advised that GAIL INDIA will issue bonus share of 1:2 , At present share price is around 400/- , I want to know weather i buy at this rate or wait till 5/10/2008 to see any down fall . Kindly advise for the above .

A:At the present rate of 408.6, the Ex-bonus rate works out to around 272.After the stock goes ex-bonus, you can see the price around this level with the bonus shares in your kitty. So the value of your investment will work out to around the same.If you're a long term investor, if does not make much of a difference, as to whether you're buying cum-bonus or ex-bonus.
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Yours truly,

Raghav @ Raghav's Picks

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