Patanjali Foods shares: Why this FMCG stock is showing 67% fall today in some apps today

Patanjali Foods shares: Why this FMCG stock is showing 67% fall today in some apps today

Patanjali Foods ex-bonus: The multibagger FMCG stock is showing up to 67 per cent fall in some trading apps today as all these the shares turned ex-bonus, adjusting to the corporate action.

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Pawan Kumar Nahar
  • Sep 11, 2025,
  • Updated Sep 11, 2025 9:20 AM IST

Patanjali Foods shares ex-bonus: Multibagger FMCG stock Patanjali Foods might be showing up to 67 per cent fall in some trading apps today as all these the shares turned ex-bonus, adjusting to the pre-announced corporate action. The company had announced to issue bonus stocks for the eligible shareholders in a 2:1 ratio, which is indicating a sharp downside in its stock price.

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Patanjali Foods had announced issue of bonus shares in 2:1 ratio on July 17, 2025, meaning two issue of new fully paid-up equity shares with a face value of Rs 2 each for every one existing equity share with a face value of Rs 2 each held by the eligible investors as on record date. It announced Thursday, September 11, 2025 as the record date for the issue of bonus shares.

With this move, the FMCG player has joined the league of HDFC Bank, Nestle India, Bajaj Finance, Ashok Leyland, Samvardhana Motherson International, Container Corporation of India, Motherson Sumi Wiring, Anand Rathi Wealth, Indraprastha Gas and Garware Technical Fibres, all of which have carried out bonus this year.

Patanjali Foods had announced to issue 72,50,12,628 bonus shares with a face value of Rs 2 each, taking the post-issue share capital to 108,75,18,942 shares with a face value of Rs 2. Shareholders who hold the stock as of the record date will be eligible to receive the bonus shares of Patanjali Foods. Investors buying the stock on or after the record date will not be considered eligible.

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Shares of Patanjali Foods settled at Rs 1,802.25 on Wednesday and opened at Rs 601.15 on Thursday, post the adjustment of 2:1 bonus. It is possible that trading apps of certain brokerages might be showing the unadjusted share price for yesterday and, thus, suggesting an up to 66-67 per cent-odd fall on the counter.

Post adjustment of bonus issue, shares of Patanjali Foods remained range bound on Friday, with its total market capitalization holding at Rs 65,000 crore mark. The stock has tumbled nearly 10 per cent from its adjusted 52-week high at Rs 670, hit in April 2025. In 2019, Patanjali Group acquired Ruchi Soya and the stock was later renamed as Patanjali Foods.

What makes bonus shares attractive for investors is that they come free of cost. Patanjali Foods will draw on its free reserves and surplus to issue the additional shares, which will carry the same face value as the existing ones.

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The impact of a bonus issue is straightforward: it increases the number of shares in circulation, which trims down the company’s free reserves and lowers earnings per share (EPS). As a result, the stock price adjusts downward. However, There is no dilution of equity.

Promoters own 36.70 per cent stake in the company, while public investors own 68.83 per cent stake as of June 30, 2025, while public shareholding stood at 31.17 per cent. Yoga-guru Baba Ramdev owned Patanjaldi Ayurved and other group entities are among the key shareholders of the company.

Among other key shareholders , LIC owns 9.14 per cent stake while mutual funds held 1.72 per cent stake in it as of Q1FY26. More than 12.02 crore retail investors own about 12.47 per cent stake in Nestle India as of Q1FY26. Rajiv Jain-back GQQ Partners own 4.56 per cent stake. Nearly 2.05 lakh own 94.88 lakh equity shares or 2.62 per cent stake of the company.

Patanjali Foods reported a 31 per cent drop in the net profit on a year-on-year (YoY) basis to Rs 180.36 crore, while revenue was up 24 per cent YoY to Rs 8,899.71 crore for the June 2025 quarter. Ebitda for the quarter declined 22 per cent YoY to Rs 321.15 crore, while marings dropped to 3.6 per cent.

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After is Q1 earning, the company managed to attract positive response from the brokerage firms. Systematix Institutional Equities had a 'buy' rating on the stock with a target price of Rs 2,020 (pre-bonus), while Antique Stock Broking also had same rating with target price of Rs 2,243. Both brokerages cited growth in the remaining part of the fiscal.

Disclaimer: Business Today provides stock market news for informational purposes only and should not be construed as investment advice. Readers are encouraged to consult with a qualified financial advisor before making any investment decisions.

Patanjali Foods shares ex-bonus: Multibagger FMCG stock Patanjali Foods might be showing up to 67 per cent fall in some trading apps today as all these the shares turned ex-bonus, adjusting to the pre-announced corporate action. The company had announced to issue bonus stocks for the eligible shareholders in a 2:1 ratio, which is indicating a sharp downside in its stock price.

Advertisement

Related Articles

Patanjali Foods had announced issue of bonus shares in 2:1 ratio on July 17, 2025, meaning two issue of new fully paid-up equity shares with a face value of Rs 2 each for every one existing equity share with a face value of Rs 2 each held by the eligible investors as on record date. It announced Thursday, September 11, 2025 as the record date for the issue of bonus shares.

With this move, the FMCG player has joined the league of HDFC Bank, Nestle India, Bajaj Finance, Ashok Leyland, Samvardhana Motherson International, Container Corporation of India, Motherson Sumi Wiring, Anand Rathi Wealth, Indraprastha Gas and Garware Technical Fibres, all of which have carried out bonus this year.

Patanjali Foods had announced to issue 72,50,12,628 bonus shares with a face value of Rs 2 each, taking the post-issue share capital to 108,75,18,942 shares with a face value of Rs 2. Shareholders who hold the stock as of the record date will be eligible to receive the bonus shares of Patanjali Foods. Investors buying the stock on or after the record date will not be considered eligible.

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Shares of Patanjali Foods settled at Rs 1,802.25 on Wednesday and opened at Rs 601.15 on Thursday, post the adjustment of 2:1 bonus. It is possible that trading apps of certain brokerages might be showing the unadjusted share price for yesterday and, thus, suggesting an up to 66-67 per cent-odd fall on the counter.

Post adjustment of bonus issue, shares of Patanjali Foods remained range bound on Friday, with its total market capitalization holding at Rs 65,000 crore mark. The stock has tumbled nearly 10 per cent from its adjusted 52-week high at Rs 670, hit in April 2025. In 2019, Patanjali Group acquired Ruchi Soya and the stock was later renamed as Patanjali Foods.

What makes bonus shares attractive for investors is that they come free of cost. Patanjali Foods will draw on its free reserves and surplus to issue the additional shares, which will carry the same face value as the existing ones.

Advertisement

The impact of a bonus issue is straightforward: it increases the number of shares in circulation, which trims down the company’s free reserves and lowers earnings per share (EPS). As a result, the stock price adjusts downward. However, There is no dilution of equity.

Promoters own 36.70 per cent stake in the company, while public investors own 68.83 per cent stake as of June 30, 2025, while public shareholding stood at 31.17 per cent. Yoga-guru Baba Ramdev owned Patanjaldi Ayurved and other group entities are among the key shareholders of the company.

Among other key shareholders , LIC owns 9.14 per cent stake while mutual funds held 1.72 per cent stake in it as of Q1FY26. More than 12.02 crore retail investors own about 12.47 per cent stake in Nestle India as of Q1FY26. Rajiv Jain-back GQQ Partners own 4.56 per cent stake. Nearly 2.05 lakh own 94.88 lakh equity shares or 2.62 per cent stake of the company.

Patanjali Foods reported a 31 per cent drop in the net profit on a year-on-year (YoY) basis to Rs 180.36 crore, while revenue was up 24 per cent YoY to Rs 8,899.71 crore for the June 2025 quarter. Ebitda for the quarter declined 22 per cent YoY to Rs 321.15 crore, while marings dropped to 3.6 per cent.

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After is Q1 earning, the company managed to attract positive response from the brokerage firms. Systematix Institutional Equities had a 'buy' rating on the stock with a target price of Rs 2,020 (pre-bonus), while Antique Stock Broking also had same rating with target price of Rs 2,243. Both brokerages cited growth in the remaining part of the fiscal.

Disclaimer: Business Today provides stock market news for informational purposes only and should not be construed as investment advice. Readers are encouraged to consult with a qualified financial advisor before making any investment decisions.
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