Why this multibagger Ashish Kacholia stock is showing 80% fall in some trading apps today?
Why is Knowledge Marine & Engineering Works stock showing an 80% fall today? Here's why the multibagger turned ex-stock split and what it means for investors.
- Nov 6, 2026,
- Updated Nov 6, 2026 9:43 AM IST
Knowledge Marine & Engineering Works shares stock split: Mutlibagger stock Ashish Kacholia's portfolio Knowledge Marine & Engineering Works Ltd might be showing up to 80 per cent fall in some trading apps today as all these the shares turned ex-split, adjusting to the pre-announced corporate action.
It had announced to issue subdivided stocks for the eligible shareholders in 1:5 ratio, which is indicating a sharp downside in its price. It means all the shares of Knowledge Marine & Engineering Works (KMEW), with a face value of Rs 5 each, shall be split or subdivided into five shares with face value of Re 1 each as of today.
All the investors having Knowledge Marine & Engineering Works shares in their demat account shall be eligible for the corporate action and the stock price shall be adjusted in the same ratio, that is, 1:5. From today, subdivided or adjusted shares shall be traded and investors buying these stocks today shall not be eligible stock-split.
"We wish to inform you that the company has fixed Friday, November 06, 2026, as the record date for determining the entitlement of equity shareholders for the purpose of subdivision/split of existing equity shares of the company, such that one equity share having face value of Rs 5 each will be sub-divided into five equity shares having face value of Re 1 each," said KMEW in an exchange filing.
Shares of Knowledge Marine & Engineering Works opened at Rs 640.95 on Friday, signaling a nearly 80 per cent fall from its previous close at Rs 3,149.75 on Thursday. The total market capitalization of the company stood close to Rs 8,000 mark. The indicated fall was due to the 'subdivision' of its equity shares in 1:5 ratio. However, the stock dropped 4.5 per cent to Rs 611.75 in the early trade.
Shares of Knowledge Marine & Engineering Works have delivered Multibagger returns to the investors. The stock has 160 per cent from its adjusted 52-week low at Rs 248.93 hit a year ago. The stock has zoomed 175 times or 17,500 per cent in little more than five years from its adjusted lows around Rs 3.7 apeice in April 2021.
An existing investor of Knowledge Marine & Engineering Works, holding one share would receive four additional shares, taking the holding to five. The corporate action would trigger a sharp price adjustment on the counter, as the stock split converts one share into five. The corporate action would improve liquidity and affordability.
What makes stock splits attractive for investors is that they come free of cost. 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. There is, however, no dilution of equity.
Marquee investor Ashish Kacholia held 5,74,721 equity shares (pre-adjustment) or 2.27 per cent stake in the company, which is valued at Rs 184.2 crore as of Friday's open. KMEW reported a net profit of Rs 11.90 crore and EBITDA of Rs 16.28 crore with a total income of Rs 50.17 crore for the September 2026 quarter.
Knowledge Marine & Engineering Works shares stock split: Mutlibagger stock Ashish Kacholia's portfolio Knowledge Marine & Engineering Works Ltd might be showing up to 80 per cent fall in some trading apps today as all these the shares turned ex-split, adjusting to the pre-announced corporate action.
It had announced to issue subdivided stocks for the eligible shareholders in 1:5 ratio, which is indicating a sharp downside in its price. It means all the shares of Knowledge Marine & Engineering Works (KMEW), with a face value of Rs 5 each, shall be split or subdivided into five shares with face value of Re 1 each as of today.
All the investors having Knowledge Marine & Engineering Works shares in their demat account shall be eligible for the corporate action and the stock price shall be adjusted in the same ratio, that is, 1:5. From today, subdivided or adjusted shares shall be traded and investors buying these stocks today shall not be eligible stock-split.
"We wish to inform you that the company has fixed Friday, November 06, 2026, as the record date for determining the entitlement of equity shareholders for the purpose of subdivision/split of existing equity shares of the company, such that one equity share having face value of Rs 5 each will be sub-divided into five equity shares having face value of Re 1 each," said KMEW in an exchange filing.
Shares of Knowledge Marine & Engineering Works opened at Rs 640.95 on Friday, signaling a nearly 80 per cent fall from its previous close at Rs 3,149.75 on Thursday. The total market capitalization of the company stood close to Rs 8,000 mark. The indicated fall was due to the 'subdivision' of its equity shares in 1:5 ratio. However, the stock dropped 4.5 per cent to Rs 611.75 in the early trade.
Shares of Knowledge Marine & Engineering Works have delivered Multibagger returns to the investors. The stock has 160 per cent from its adjusted 52-week low at Rs 248.93 hit a year ago. The stock has zoomed 175 times or 17,500 per cent in little more than five years from its adjusted lows around Rs 3.7 apeice in April 2021.
An existing investor of Knowledge Marine & Engineering Works, holding one share would receive four additional shares, taking the holding to five. The corporate action would trigger a sharp price adjustment on the counter, as the stock split converts one share into five. The corporate action would improve liquidity and affordability.
What makes stock splits attractive for investors is that they come free of cost. 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. There is, however, no dilution of equity.
Marquee investor Ashish Kacholia held 5,74,721 equity shares (pre-adjustment) or 2.27 per cent stake in the company, which is valued at Rs 184.2 crore as of Friday's open. KMEW reported a net profit of Rs 11.90 crore and EBITDA of Rs 16.28 crore with a total income of Rs 50.17 crore for the September 2026 quarter.