InvestorQ : With Dixon Technologies proposing a stock split, do you see an impact on price?
vaishnavi mhatre made post

With Dixon Technologies proposing a stock split, do you see an impact on price?

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vidhya Laxmi answered.
2 months ago
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Ever since Dixon came out with its IPO, the stock has been one of the star performers in the stock market. In fact, the stock of Dixon Technologies has risen by nearly 850% since its IPO, largely on the back of its outsourcing model that has gelled perfectly with the proposed Atma Nirbhar Bharat scheme of the government of India to in-source aggressively.

The stock now looks ripe for a stock split to bring the stock price into more popular range. Dixon Technologies is a contract manufacturer of electronic goods and has been a major beneficiary of the Atma Nirbhar Bharat program. This program is about making India the manufacturing hub and also an export hub for the world.

The board of Dixon will meet in early February to consider a stock split. In addition, Dixon will also announce its quarterly results on 31 January. Stock splits are generally considered to be value neutral. When stocks get pricey, as in the case of Dixon, stock split is useful in bringing the price to a more acceptable range! The stock of Dixon quotes at above Rs.14,900, and that surely makes Dixon a good candidate for a stock split.

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