Gokul Agro Resources Approves 1:2 Stock Split: What Shareholders Need to Know
Latest Update: Mid-September 2025
What is the Stock Split?
Gokul Agro Resources Limited (GARL) has approved an equity share subdivision (stock split) in the ratio of 1:2. For every share currently held, shareholders will receive two shares. The face value of each share is being reduced from ₹2 to ₹1.
Record Date & Effective Date
The record date for this 1:2 stock split has been fixed as October 14, 2025. Shareholders holding shares in demat on this date will be eligible for the share subdivision.
About Gokul Agro Resources
Gokul Agro Resources Limited is an FMCG and agro-processing company in India (incorporated 2014). The company produces and distributes edible oils, non-edible oils, castor oil derivatives, feed meals and specialty fats & oils. It operates a network of distributors across domestic and export markets.
Latest Share Price Trend & Market Reaction
Here are the latest market metrics and investor reaction following the announcement:
- Current Share Price: ~ ₹360–₹362 per share on NSE/BSE.
- 52-Week High / Low: ~ ₹377 (high) and ₹193.10 (low).
- Market Capitalization: ≈ ₹5,280–₹5,360 crore.
- P/E Ratio: ~ 20× (TTM).
- P/B Ratio: ~ 5.1×.
- Performance Trends:
- 1-Week: Up ~8–9% following announcement.
- 3-Month / 6-Month: Noticeable upside; growing investor interest.
Overall market reaction has been positive with increased buying interest, likely driven by expectations of improved liquidity after the split. Technical resistance appears near ₹370–₹380, with support around ₹330–₹340.
Why Do a Stock Split?
- Improved Liquidity: Lower per-share price can attract smaller investors and increase volume.
- Affordability: Shares become more accessible to a wider retail base.
- Psychological Effect: Lower per-share prices sometimes look more attractive despite unchanged market cap.
- No immediate ownership change: Proportionate ownership and total investment value remain the same right after the split.
Key Figures & Market Implications
| Metric | Before Split | After Split |
|---|---|---|
| Face Value per Share | ₹2 | ₹1 |
| Shares Received per Existing Share | 1 | 2 |
| Example: Total Investment | 100 shares @ ₹X each | 200 shares @ ~₹X/2 each |
The stock split does not change market capitalization, but it can change per-share price and trading volumes.
Things Shareholders Should Watch
- Keep shares in demat form by the record date to receive split shares.
- Brokerage platforms may adjust historical charts and per-share prices — check your portfolio post-split.
- Tax basis per share will change (important for capital gains tracking).
- Monitor market reaction — short-term moves can be technical; long-term outcome depends on fundamentals.
Recent Financial & Stock Performance Highlights
In the latest reported quarter (Q1 FY26), GARL reported consolidated total income of ~₹4,933.25 crore and net profit after tax of ~₹71.70 crore. These figures reflect the company’s continuing revenue base amid market cycles.