MCX stock split explained: Share price may fall sharply; what investors need to know
Recently, ICICI Securities revised its target price on MCX while retaining its ‘Add’ rating. The brokerage cites sustained momentum in trading volumes and elevated commodity volatility as key near-term drivers.
- Jan 2, 2026,
- Updated Jan 2, 2026 8:31 AM IST
Multi Commodity Exchange of India Ltd (MCX) is set to see a sharp adjustment in its share price today, January 2, as the stock turns ex-date for its stock split. Under the corporate action, each equity share with a face value of Rs 10 will be subdivided into five equity shares of face value Rs 2 each.
Today is the record date for determining shareholders eligible for the subdivision. Existing investors need not worry. The ones holding MCX share would receive four additional shares, taking the total holding to five shares post-split.
The stock split is expected to lead to a proportionate price adjustment, as one share converts into five. Such corporate actions typically improve liquidity and affordability, making the stock more accessible and potentially encouraging broader retail participation.
Brokerage view on MCX
Recently, ICICI Securities revised its target price on MCX while retaining its ‘Add’ rating. The brokerage cites sustained momentum in trading volumes and elevated commodity volatility as key near-term drivers. ICICI Securities says MCX has been witnessing strong positive volume momentum, reflected in robust growth during Q3FY26 and 9MFY26, and expects profit after tax in Q3FY26 to rise nearly 100 per cent quarter-on-quarter.
While structural factors such as capital-efficient product design, the growing role of digital brokers and scope for higher penetration remain supportive, the brokerage notes that commodity volatility is currently the dominant driver of volumes, a trend seen across global commodity exchanges.
Stock split vs bonus shares
Stock splits and bonus issues may appear similar, but their objectives differ. A stock split subdivides existing shares into smaller units to enhance liquidity by reducing the face value, without altering the company’s share capital or reserves. Dividend per share adjusts proportionately in a split. A bonus issue, in contrast, involves issuing additional free shares to shareholders from accumulated earnings, without any change in face value.
In a 1:5 stock split, each share is divided into five and dividend entitlement reduces proportionally. In a bonus issue, dividend entitlement remains unchanged. Shares arising from a stock split are typically credited to investors’ demat accounts within one to two working days after the record date.
Multi Commodity Exchange of India Ltd (MCX) is set to see a sharp adjustment in its share price today, January 2, as the stock turns ex-date for its stock split. Under the corporate action, each equity share with a face value of Rs 10 will be subdivided into five equity shares of face value Rs 2 each.
Today is the record date for determining shareholders eligible for the subdivision. Existing investors need not worry. The ones holding MCX share would receive four additional shares, taking the total holding to five shares post-split.
The stock split is expected to lead to a proportionate price adjustment, as one share converts into five. Such corporate actions typically improve liquidity and affordability, making the stock more accessible and potentially encouraging broader retail participation.
Brokerage view on MCX
Recently, ICICI Securities revised its target price on MCX while retaining its ‘Add’ rating. The brokerage cites sustained momentum in trading volumes and elevated commodity volatility as key near-term drivers. ICICI Securities says MCX has been witnessing strong positive volume momentum, reflected in robust growth during Q3FY26 and 9MFY26, and expects profit after tax in Q3FY26 to rise nearly 100 per cent quarter-on-quarter.
While structural factors such as capital-efficient product design, the growing role of digital brokers and scope for higher penetration remain supportive, the brokerage notes that commodity volatility is currently the dominant driver of volumes, a trend seen across global commodity exchanges.
Stock split vs bonus shares
Stock splits and bonus issues may appear similar, but their objectives differ. A stock split subdivides existing shares into smaller units to enhance liquidity by reducing the face value, without altering the company’s share capital or reserves. Dividend per share adjusts proportionately in a split. A bonus issue, in contrast, involves issuing additional free shares to shareholders from accumulated earnings, without any change in face value.
In a 1:5 stock split, each share is divided into five and dividend entitlement reduces proportionally. In a bonus issue, dividend entitlement remains unchanged. Shares arising from a stock split are typically credited to investors’ demat accounts within one to two working days after the record date.