India’s 3rd Largest Private Bank Fixes Record Date For Final Dividend; Buy The Stock To Be Eligible?

One of the stocks that market observers are keeping an eye on is Axis Bank, which posted strong Q4 results. However, the major news is that the private bank has announced the record date for the FY24 final dividend, following which the shares of Axis Bank closed 0.24% higher on the BSE at Rs 1130.05 a share on Friday.

Axis Bank Dividend

"We hereby inform you that the Board of Directors of Axis Bank Limited ("Bank") at its meeting held today, i.e., April 24, 2024, has recommended a final dividend of Re. 1/- per equity share i.e., 50% of the face value of Rs. 2/- each, for the financial year ended March 31, 2024, subject to approval of the members of the Bank at the ensuing 30th Annual General Meeting ("AGM"). The dividend, if approved, will be paid within 30 days from the date of conclusion of the AGM," said Axis Bank in a regulatory filing.

Axis Bank Dividend Record Date

"The Board approved the convening of the 30th Annual General Meeting (the "AGM") of the Bank on Friday, July 26, 2024, through Video Conference/ Other Audio-Visual Means. Pursuant to Regulation 42 of the SEBI Listing Regulations, we hereby inform that the record date for payment of final dividend is Friday, July 12, 2024," said Axis Bank in a stock exchange filing.

Axis Bank Q4 Results

From a net loss of Rs 5,728 crores in Q4FY23 to a net profit of Rs 7,130 crores in Q4FY24, a 17% QOQ gain occurred. The bank's Net Interest Income (NII) grew by 11% YoY and 4% QOQ to Rs 13,089 crores. The net interest margin (NIM) for Q4FY24 was 4.06%, representing a 5 bps QOQ rise. The bank's operating profit climbed to Rs 10,536 crores during the quarter, 15% YoY and 15% QOQ. In Q4FY24, core operating profit jumped by 5% YoY and 8% QOQ to Rs 9,515 crores.

FY24's net interest income climbed from Rs 42,946 crores to Rs 49,894 crores, a 16% YoY growth. The net profit grew by 160% from Rs 9,580 crores in FY23 to Rs 24,861 crores in FY24.

In comparison to 1.58% and 0.36% on December 31, 2023, the bank's gross and net non-performing assets (NPA) as of March 31, 2024, had been calculated to be 1.43% and 0.31%, respectively.

Axis Bank Share Price Target

Deven Mehata - Equity Research Analyst at Choice Broking said, "AXISBANK is displaying promising signs in its recent price action, indicating underlying strength and resilience. The stock rebounded notably from a support level of 1085, suggesting investor confidence at that juncture. Currently trading at approximately 1130.30 levels, AXISBANK has demonstrated a notable recovery from the aforementioned support, often signaling the initiation of a bullish trend. Moreover, the stock's positioning above key moving averages further bolsters its bullish outlook, indicating sustained positive momentum amidst prevailing market conditions."

"While a minor obstacle is observed around the 1150 level, representing a modest resistance, a successful breach of this barrier could pave the way for continued upward movement. Looking ahead, should AXISBANK surpass this resistance, it may signify a significant milestone for the stock, potentially propelling it towards higher levels. With a target set at 1210, investors may consider monitoring price movements closely for potential entry or accumulation opportunities in line with the anticipated bullish trajectory of AXISBANK," he further added.

Disclaimer

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