The Rajapalayam Mills stock was frozen at the 20% upper circuit at Rs 510 on Monday, 30 May 2011, after the company's board announced the bonus issue along with strong Q4 March 2011 results on Saturday, 28 May 2011. Boosted by the bonus issue and strong results, the stock has jumped 40.11% in two trading sessions from its close of Rs 425 on 27 May 2011.

Meanwhile, the BSE Sensex was up 169.28 points, or 0.93%, to 18,401.34

On BSE, 17,327 shares were traded in the counter compared with average daily volume of 316 shares in the past one quarter.

The stock hit a high of Rs 609 and a low of Rs 553.05 so far during the day. The stock had hit a 52-week high of Rs 774.80 on 10 August 2010 and a 52-week low of Rs 370 on 11 February 2011.

The stock had outperformed the market over the past one month till 30 May 2011 advancing 14.69% as compared to the Sensex's fall of 4.72%. The stock also outperformed the market in the past one quarter, surging 27.50% as compared to the Sensex's return of 2.29%.

The small-cap textiles firm has an equity capital of Rs 3.51 crore. Face value per share is Rs 10.

Rajapalayam Mills' net profit rose 77.9% to Rs 6.85 crore on 25.4% increase in net sales to Rs 85.99 crore in Q4 March 2011 over Q4 March 2010.

The company's net profit rose 128.3% to Rs 26.87 crore on 27.9% increase in net sales to Rs 304.85 crore in the year ended March 2011 over the year ended March 2010.

Rajapalayam Mills' board also recommended dividend of Rs 15 per share for the year ended March 2011 comprising of a dividend of Rs 7.50 per share and a special platinum jubilee dividend of Rs 7.50 per share.