leo1234:


So if an individual has 100 units it will be reduced to 5 or what?

Intendy:
APR alert don land

rebekah2011:


Transcorp gave a bonus of 1:20. To calculate it add 1 to 20 = 21. Then multiply the price before the mark down by this. 1/21*20

Godisfaithful:


Another good day to take a withdrawal slip

Mfunkynation:
boss, help me.....does price mark down affect d share price of a stock that gives bonus only?

Mfunkynation:
pls cant folo ur calculation.

rebekah2011:


Take for instance if the price of Transcorp before mark down was N1 and you hold 1,000 units. The value of your investment will be N1,000. After the bonus of 1:20, your holdings would have increased to 1,050 but the price will no longer be at N1 but less than to equal your N1,000. Hence, 1/21*20=N0.952. This multiply by 1,050units will give you approximately N1,000. Trust you can now get it.

Godisfaithful:


Yes Sir. The price will be re-adjusted based on the bonus such company gives (i mean how much the bonus worth base on the share price).

feelamong:
Another Good day Beckons!

A good pay day for AfriPrud Plc!

Abeg make una start to sell una Ucap and come back in December o!!

Need to mop up more at N1.10k

valacious:
has sterling bank released result?

valacious:
@Godisfaithful, thank you o..i almost entered one chance..

Intendy:
http://nse.com.ng/Financial_NewsDocs/13194_CONTINENTAL_RE_AUDITED_DEC_2015_FINANCIAL_STATEMENTS_APRIL_2016.pdf

yom2:
pls any idea why dis stock has remained perenially strong compared to its peers and yet not flamboyant?

Raider76:


I believe the price after bonus is calculated such that the value of your holding remains the same after the bonus shares are added. So if

P1 = price before bonus
P2 = price after bonus
S1 = no. of shares you own before bonus
S2 = no. of shares after bonus
Value before bonus V1 = (P1 x S1)
Value after bonus V2 = (P2 x S2)
So V1=V2, or (P1 x S1) = (P2 xS2)
P2 = (P1 x S1)/S2

for 1 for 20 bonus; S2= S1 + (S1/20)
P2 = (P1 x S1)/(S1 + (S1/20))