HDFC Bank share price saw a sharp adjustment today after the bank’s first-ever 1:1 bonus issue. While the stock appeared to fall by nearly 50%, the change was purely technical and not due to any weakness in the company’s fundamentals.
As the stock turned ex-bonus on August 26, 2025, its value was recalibrated to nearly half of its previous closing price. For example, if an investor held one share worth ₹1,964 earlier, they now hold two shares valued around ₹982 each. The total value of the investment remains the same, but it is spread across more shares.
The record date for the bonus issue is August 27, 2025, and eligible shareholders will soon receive additional shares in their demat accounts. This move was announced alongside the company’s quarterly results and is seen as a step to reward long-term investors while improving liquidity in the market.
While the HDFC Bank share price may look significantly lower at first glance, it is important to note that this is a standard market adjustment. Investors’ wealth has not diminished, and the overall market capitalization of the bank remains unchanged.
Market experts believe such bonus issues can enhance retail participation and improve trading volumes. For long-term investors, the adjustment in HDFC Bank share price should not be a cause for concern but rather an opportunity to understand how bonus issues impact stock valuations.
Risk Disclaimer
Disclaimer: This article is for informational purposes only and does not constitute financial advice. Stock prices are subject to market risks and volatility. Investors should do their own research or consult a qualified financial advisor before making investment decisions.
