52W-High Stock: Is This LIC-Backed Pharma Stock A Good Buy For 62.50% Dividend Due?

A large-cap company in the pharmaceutical industry is Natco Pharma Ltd. During the morning trade on Monday, Natco Pharma's shares gradually moved up to an all-time high of Rs 1,107.85 from their higher opening price of Rs 1036.70 on the BSE. Following the company's release of its financial results for the quarter ending December 31, 2023, and 62.50% for FY24, the stock saw a surge.

Natco Pharma Dividend

The Board of Directors of the company "Declared third interim dividend of Rs.1.25 (Rupees one Rupee and paise Twenty five only i.e., 62.50 %) each per equity share of Rs.2/- (Rupees two only) each for the financial year 2023-24. The date for taking on record of its shareholders eligible for the purpose of payment of third interim dividend i.e., record date is fixed as Monday, the 26th day of February, 2024. The payment of said interim dividend will start from Monday, the 4th day of March 2024," said Natco Pharma in a regulatory filing.

Natco Pharma Financials

NATCO Pharma Limited, headquartered in Hyderabad (NSE: NATCOPHARM; BSE: 524816), reported a 55 per cent rise in consolidated total revenue for the third quarter that ended on December 31, 2023, to Rs 795.6 Crore, compared to Rs 513.3 Crore for the same period the previous year. Consolidated net profit for the quarter was Rs 212.7 crore, compared to Rs 62.3 crore for the same period in the previous year. The company's total sales for the nine months that ended on December 31, 2023, was Rs 3016.6 crore, compared to Rs 1884.8 crore for the same period the previous year. The net profit for 9MFY24 was Rs 1002.0 Crore as against Rs 439.5 Crore in the same period last year.

Natco Pharma Share Price Target

Natco Pharma is bullish but also very overbought on the Daily charts with next resistance at 1155. Investors should book profits at current levels as a Daily close below support of 1029 could lead to a target of 904 in the near term, said AR Ramachandran from Tips2trades.

Natco Pharma Shareholding

During Q3FY24, insurance giant LIC held 73,70,212 shares of the company which is 4.11% of the total paid-up share capital of NATCO Pharma.

Disclaimer

The recommendations made above are by market analysts and are not advised by either the author, nor Greynium Information Technologies. The author, nor the brokerage firm nor Greynium would be liable for any losses caused as a result of decisions based on this write-up. Goodreturns.in advises users to consult with certified experts before making any investment decision.