New Delhi, Sept. 1 -- Small-cap stock Pavna Industries' share price reflected an over 90% fall from its last closing price on the National Stock Exchange in trade on Monday, September 1, following the record date for its stock split in the ratio of 1:10.

On NSE, Pavna Industries' share price traded at a low of Rs.40.70 apiece. Meanwhile, its last close was Rs.413.20. But is the stock down by a whopping 90%? Not really.

In reality, the Pavna Industries share price is down just 1.45%.

Today, September 1, is the record date for the 1:10 stock split announced by Pavna Industries. This means that if an investor held one share of Rs.10, they would end up with 10 shares of Re 1.

The total number of shares jumps, but the price per share is ad...