Don't miss action in this stock that has announced bonus shares!

Today, the shares of this company saw a spurt in volume by more than 5.79 times on BSE.

The shares of Sheela Foam Ltd were trading today at Rs 2,590 apiece, down by 0.35 per cent from the previous close of Rs 2,599. The corporation verified that the record date for the issuance of bonus shares is December 22, 2022 and that bonus shares will be issued to equity shareholders in a ratio of 1:1.

Sheela Foam Ltd is a Mid-Cap company having a market cap of Rs 12,611 crore. It is one of the leading players in India in the mattress and foam products industry and a leader in polyurethane (PU) Foam. It has a nationwide presence in manufacturing PU Foam with a track record, since 1971. The brands of Sheela Group include Sleepwell, Feather Foam and Lamiflex.

According to annual financial figures, the net sales for FY23 increased by 26 per cent compared to the last year. Operating profit for FY23 decreased to 1.2 per cent when compared to FY22. Even though the company's operating profit decreased in FY23, its net profit increased dramatically to Rs 197 crore or 8.9 percent, in FY23, compared to Rs 181 crore in FY22. Today, the share of Sheela Foam Ltd saw a spurt in volume by more than 5.79 times on BSE.

Sheela Foam Ltd has an ROE of 17 and a ROCE of 23 per cent, indicating strong managerial performance. The 52-week high for the company is Rs 4,054 and the 52-week low is Rs 2,533. A recent bonus issue was announced at a 1:1 ratio, which means that shareholders will receive one bonus share for each share held by the existing shareholder as of the record date. Investors should keep this stock under their watch list.