JTL Industries Share Price Jumps With Stock Split On The Cards

Shares of JTL Industries Ltd. surged over 8% after its board of directors scheduled a meeting for the consideration and approval of a potential stock split on Oct. 3, according to the company's stock exchange notification on Tuesday.

The number of shares into which each stock will be split is to be decided post the approval of shareholders, according to the filing. The company has issued a stock split only once previously, in October 2021, with shares split into Rs 2 from Rs 10.

The steel tube manufacturing company had reported its highest-ever quarterly export volume, with growth of 31.4% to 5,917 MT in the first quarter of fiscal 2024. This compares to 4,503 metric tonnes in the same period last year.

Export sales made up 6.9% of the total sales volume in the quarter-ended June 2024.

The company's sales volumes also rose 10.8% year-on-year to 85,674 MT in the quarter-ended June 30, 2024, compared to 77,342 MT in the same period last year.

Shares of the company rose as much as 8.30%, the highest level since Sept. 16, before paring gains to trade 6.62% higher at Rs 234.74 apiece, as of 01:31 p.m. This compares to a 0.07% advance in the NSE Nifty 50.

The stock has fallen 1.39% year-to-date. Total traded volume so far in the day stood at 2.12 times its 30-day average. The relative strength index was at 55.9.

Two analysts tracking the company maintain a 'buy' rating, according to Bloomberg data. The average 12-month analysts' consensus price target implies an upside of 22.4%.