Comparison Between Bonus Issue and Stock Split Bonus Issue Stock Split The Par value of the stock remains constant The par value of the stock is reduced A part of the reserve is capitalised There is no capitalization of reserves The shareholders proportional ownership remains unchanged The shareholders proportional ownership remains unchanged The book value per share, the earnings per share and the market price per share decline The book value per share, the earnings per share and the market price per share decline The market price per share is brought within a more popular trading range The market price per share is brought within a more popular trading range