Stock to Watch Out: Easy Trip Planners; Bonus to be Announced Soon!
EaseMyTrip is likely to announce a bonus issue soon, continuing its upward trend. The company plans a board meeting on October 14, 2024.
Profit Booking in Benchmark Indices
On Wednesday, Indian equity markets saw some profit booking, causing frontline indices to close in red. Despite this, stock-specific action continues to dominate Dalal Street, and one such stock that remained in focus was EaseMyTrip (Easy Trip Planners).
EaseMyTrip’s Rapid Growth
Founded in 2008, EaseMyTrip is one of India’s largest online travel platforms, specializing in air ticket bookings. The platform offers a zero-convenience fee option during bookings and provides access to over 400 international and domestic airlines, more than 2 million hotels, and various travel options like train, bus, and taxi bookings.
The company has grown both domestically and internationally, with offices in major Indian cities such as Noida, Delhi, and Mumbai, and subsidiaries across countries including the UAE, Singapore, and the UK.
Potential Bonus Announcement
EaseMyTrip is likely to announce a bonus share issue soon, following its trend from 2022, when the company issued two bonuses, the most recent being in a 3:1 ratio. This means that for every one share held by an investor, they received three additional shares.
The company’s board is set to meet on October 14, 2024, to approve this potential bonus issue, which has already generated significant market interest.
Expansion through Franchises
Further boosting its business, EaseMyTrip recently launched its 18th franchise store in Hyderabad, Telangana. The company’s franchise network has been instrumental in tapping into offline markets, broadening its customer base across India.
Key Stakeholders
An interesting highlight for investors is that Life Insurance Corporation of India (LIC) holds a 2.17% stake in EaseMyTrip, amounting to over 38 million shares. LIC’s backing adds an additional layer of credibility and confidence in the company’s growth trajectory.
Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.