The conversation between human and AI assistant.
What happens to the market price of shares when bonus shares are issued?
That's good to know. But are there any downsides to issuing bonus shares?
One potential downside is that the company might be seen as having a weaker financial position. Since issuing bonus shares does not increase the company's assets, it might be seen as a sign that the company is not generating enough profits to reinvest in its core business.