Shares of Gillette India, GPT Infraprojects, Sun TV Network, Kaveri Seed Company, and six other companies will be under the spotlight today as they approach their ex-dividend date tomorrow, November 26, 2024. These companies have announced dividend payouts for shareholders, drawing investor attention. Meanwhile, UPL and NHC Foods will also garner interest due to their rights issue announcements.
Key dividend announcements
- Gillette India: The company has declared a final dividend of ₹45 per share for its shareholders, a significant payout that highlights its strong financial position.
- Sun TV Network: Announced an interim dividend of ₹5 per share.
- Kaveri Seed Company: Declared an interim dividend of ₹5 per share.
- GPT Infraprojects: Announced an interim dividend of ₹1 per share.
The record date for these dividends has been set for November 26, 2024. Investors holding shares on this date will qualify for the dividend.
Additionally, companies such as Dev Information Technology, Dolat Algotech, and Elpro International have announced smaller interim dividends of ₹0.25, ₹0.25, and ₹0.70 per share, respectively, with the same record date.
- Ganesha Ecosphere: Declared an interim dividend of ₹1.50 per share.
- Morganite Crucible (India): Announced a significant ₹30 per share interim dividend.
- Polyplex Corporation: Declared an interim dividend of ₹9 per share.
Rights issue spotlight
In addition to dividends, UPL and NHC Foods have announced rights issues for shareholders.
- UPL: The company will issue 9,38,25,955 equity shares on a partly paid-up basis, aggregating to ₹3,377.74 crore. The rights issue price is ₹360 per share, fully paid up (including a premium of ₹358 per share).
- NHC Foods: Announced a rights issue comprising 47,42,00,000 equity shares, aggregating to ₹47.42 crore. The rights issue price is ₹1 per share, with the record date also set for November 26, 2024.
Other companies turning ex-date
- Balrampur Chini Mills: Announced a dividend of ₹3 per share.
- EPL: Declared a dividend of ₹2.50 per share.
- Power Finance Corporation: Announced a dividend of ₹3.50 per share.
These stocks will trade ex-dividend today, meaning new investors purchasing the stock from today onwards will not be entitled to the declared dividend.
Understanding ex-dividend date
The ex-dividend date is a critical marker for investors. On this day, a stock trades without the entitlement to receive the announced dividend. To qualify for the payout, shareholders must own the stock before this date. The record date, set by the company, determines the list of shareholders eligible for the dividend.
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Market dynamics
Dividend stocks often attract investors seeking stable income, particularly in volatile market conditions. Companies offering dividends signal financial health and stable earnings, which can boost investor confidence. Meanwhile, rights issues, like those announced by UPL and NHC Foods, allow existing shareholders to purchase additional shares at a discounted rate, often indicating growth or expansion plans.
Investor outlook
As the ex-date for these companies approaches, trading volumes may increase, reflecting interest from both short-term traders and long-term investors. Dividend announcements, particularly large ones like Gillette India’s ₹45 per share payout, typically indicate strong fundamentals and could lead to share price appreciation.
Meanwhile, the rights issues of UPL and NHC Foods present opportunities for existing shareholders to increase their holdings at discounted prices, potentially boosting participation and long-term value creation.
Dividend-paying stocks and rights issues will be at the forefront of investor activity today. With multiple companies turning ex-date tomorrow, November 26, 2024, market participants are likely to focus on these opportunities to optimise returns. As companies like Gillette India and UPL announce shareholder-friendly measures, their stocks are expected to remain in the limelight, bolstering overall market sentiment.
