What is Face Value (Par Value)?
Face value is the nominal value of a share as stated in the company's charter — in India, most companies have a face value of ₹1, ₹2, ₹5, or ₹10.
Formula
Face Value is fixed at incorporation; can change with stock splits.
How to Interpret
Face value is NOT the market price. It determines dividend declaration (e.g., 200% dividend on ₹2 face value = ₹4 per share) and accounting entries.
Typical Ranges
Most common: ₹1, ₹2, ₹5, ₹10. Used for dividend and bonus calculations.