100-1400% Dividends; 2 Financial Stocks Rally On Turning Ex-Dividend On February 6; Check Payment Dates

Two leading financial stocks, Motilal Oswal Financial Services and Shriram Finance gained in the range of 2-3% on Tuesday as the share prices turned ex-dividend on the day. Both stocks neared their 52-week highs. The companies are going to reward shareholders with interim dividends ranging from Rs 10 to Rs 14 per share later in February month. Both stocks have also declared their Q3 earnings report card.

Motilal Oswal Financial Services Dividend:

On BSE, Motilal's stock climbed nearly 3% to hit the Rs 1,800 mark during the trading session. After market hours, the stock ended at Rs 1,763 apiece, up by 0.50%.

This leading stock broker turned ex-dividend on Tuesday, February 6, 2024, for a dividend payout of Rs 14 per share having a face value of Rs 10 each for FY24. In percentage terms, the dividend payout is to the tune of 1400%.

Motilal has announced that the Interim Dividend would be paid to all Equity Shareholders of the Company on or before February 23, 2024.

At the current market price, Motilal's dividend yield is at 0.56%. In FY23, the company paid up to 1,000% dividend amounting to Rs 10 per share.

During Q3FY24, the company reported consolidated PAT (including OCI) of Rs 774 crore, registering a growth of a massive 222% YoY. Consolidated operating revenue for the quarter grew to Rs 1,377 crore, up 30% YoY/2% QoQ. Consolidated operating profit after tax (PAT) for the quarter grew to Rs 311 crore, up 35 % Yo Y / 8 % QoQ.

Motilal also delivered the highest ever quarterly Capital market business PAT of Rs 202 crore, up 44% YoY/12% QoQ. Housing finance business PAT for the quarter grew to Rs 36 crore, up 11 % QoQ. Moreover, the company's net worth was robust at Rs 8,267 cr as of December 31, 2023, up 33% YoY.

MOFSL is a financial services company. Its offerings include capital markets businesses (Retail broking, Institutional broking & Investment banking), Asset & Wealth Management (Asset Management, Private Equity & Wealth Management), Housing Finance & Equity based treasury investments. MOFSL employs 10,750 employees serving to -6 mn clients via distribution reach in 550+ cities. MOFSL has an AUM of Rs 4.4 lakh crore.

Shriram Finance Dividend:

On BSE, Shriram's share price has zoomed by nearly 2% to hit an intraday high of Rs 2,404 apiece. After market hours on Tuesday, the stock ended at Rs 2,399.05 apiece, up by 1.8% on the exchange.

Leading financial services provider, Shriram Finance turned ex-dividend on Tuesday for a second interim dividend of Rs 10 per share or 100% having a face value of Rs 10 each for FY24. Just like Motilal, Shriram will pay the second interim dividend payout to eligible shareholders on or before Friday, February 23, 2024.

Currently, it has a dividend yield of 1.46%. Earlier, the company paid a first interim dividend of Rs 20 per share or 200% for which it turned ex-dividend on November 6, 2023. In the previous financial year, the company paid up to 350% dividend aggregating to Rs 35 per share.

In the third quarter of FY24, Consolidated Net Interest Income for the third quarter ended 31st December 2023 increased by 16.93% and stood at Rs. 5,274.91 crores as against Rs. 4,511.35 crores in the same period of the previous year. Consolidated Net Profit increased by 3.99 % and stands at Rs. 1,873.59 crores as against Rs 1,801.66 crores recorded in the same period of the previous year. Consolidated earnings per share (basic) increased by 2.96 % and stands at Rs. 49.70 as compared to Rs. 48.27 recorded in the same period of the previous year.

Shriram Finance Limited is the flagship company of the Shriram group which has a significant presence in Consumer Finance, Life Insurance, General Insurance, Housing Finance, Stock Broking and Distribution businesses. Shriram Finance Limited is one of India's largest retail asset financing non-banking finance Companies (NBFC) with Assets under Management (AUM) above Rs. 2.14 trillion.