Wipro shares down 50%? Here's why some apps are showing the wrong price

Wipro shares saw an unusual 50% drop on some trading apps on Tuesday, causing confusion among investors. The apparent drop is a result of Wipro’s 1:1 bonus issue, which has adjusted the share price to reflect the increased number of shares in circulation. HOW BONUS ISSUES AFFECT SHARE PRICES A bonus issue increases the number of outstanding equity shares while reducing the stock price in proportion to the bonus ratio. In Wipro’s case, the 1:1 ratio means shareholders will receive one additional share for each share they already own. Post-bonus, Wipro’s paid-up equity share capital will be approximately Rs 20,925.9 crore, with 10,462,971,564 shares of Rs 2 each in circulation.