India, Aug. 9 -- A bonus share is a free share given to existing shareholders by a company based on the number of shares they already own. It's a way for companies to reward shareholders without paying cash, usually issued from the company's profits or reserves.

Similarly, a stock split increases the number of a company's shares by dividing existing shares and reducing their face value proportionately. While it doesn't change the total investment value, it makes shares more affordable, enhances liquidity, and attracts more retail investors.

Recently, several companies have announced bonus shares and stock splits, reflecting strong financial health and confidence in future growth, which has drawn increased investor interest.

Bonus com...