Wipo’s Quarter Two Results: Bonus and Stock Performance
Big News: 1:1 Bonus Announced
Friends, WIPO’s quarter two results were expected today, but they’ve already been released. There’s significant news from Wipo: your number of shares is set to double as Wipo has announced a 1:1 bonus. The record date for this will be announced soon.
Eligibility for the Bonus
As of now, the record date hasn’t been revealed. This means that if you purchase shares now, you will be eligible for the bonus. However, whether you should buy shares or not is a different matter. I believe you shouldn’t buy shares based solely on corporate actions. Since the record date is not yet available, it will be announced later, and anyone who buys shares before that date will qualify for the 1:1 bonus.
Will the Bonus Double Your Money?
Are we seeing free money being distributed? Will your money double with the increased number of shares? Unfortunately, that’s not how it works. Whether it’s a split or a bonus, the stock price also adjusts in the same ratio. For example, if Wipo is currently trading at 600, once the bonus is effective, the number of shares will double, but the price will drop to around 300.
Bonus Details
When can you expect to receive the bonus? This will be two months from the date of board approval, meaning you should receive the shares by December 15.
Previous Bonus Issues
Wipo has a history of issuing bonuses in 2019, 2017, 2010, 2005, and 2004. Their respective ratios are documented. This indicates that while the number of shares keeps multiplying, the stock price tends to adjust downwards.
Quarter Two Results: A Closer Look
In addition to the bonus news, Wipo’s quarter two results are in. Compared to its peers or based on Wipo’s past performance, the results appear quite strong. Although there’s no growth in total income, a 3% growth has been observed on a quarter-on-quarter basis.
Profit Increase
The profit for this period has seen a 21% increase. Given the challenging macro environment affecting the IT sector, Wipo has managed to perform well.
Stock Performance Overview
Wipo has delivered a good performance in previous years, but its consistency is lacking. In the short term, Wipo might see some movement. However, I’m not as confident in its long-term potential.
Conclusion
Considering all these factors, I believe we may witness an increase in Wipo’s stock tomorrow. However, it’s essential to remember: don’t chase stocks based on corporate actions.