Bonus Share Calculator

How it's calculated

Bonus shares = shares held × (bonus ÷ for every), rounded down, since fractional entitlements are usually not credited. New average = total cost ÷ total shares.

How bonus shares affect your holding and cost

Bonus shares are extra shares a company gives to existing shareholders at no charge, in a stated ratio such as 1 for every 2 held. Your total investment stays the same, but it is now spread over more shares, so your average cost per share goes down.

For example, with 75 shares at an average of ₹860 and a 1 : 2 bonus, you receive 37 bonus shares (37.5 rounded down) and hold 112. Your average becomes about ₹575.89. Fractional entitlements are usually not credited, which is why the calculator rounds down.

Frequently asked questions

Do I pay anything for bonus shares?

No. They are issued free from the company's reserves in proportion to the shares you already hold.

Does a bonus issue make me richer?

Not directly. The share price adjusts after the bonus, so the total value of your holding stays about the same at that moment.

What happens to the fractional part?

Companies usually round down and do not credit a fraction of a share. The calculator shows how much was dropped.

How to use the Bonus Share Calculator

Enter shares held, average buy price, bonus shares, for every. The calculator updates as you type and shows Bonus shares received, along with the figures behind it. It runs in your browser, so nothing you enter is sent anywhere. Use the Reset button to go back to the example values.