Large Cap Stock Info Edge (India) Declares Rs 10/Share Dividend: Buy?

Info Edge (India) is a large-cap company in the consumer discretionary sector. The company has a diversified business portfolio which comprises recruitment, matrimony, real estate and education. The company has released its financial results for the quarter ended 30th September 2023 along with a dividend declaration of Rs 10 per share.

Info Edge Dividend

"The Board has declared Interim Dividend of Rs. 10/- per share (on face value of Rs.10/- per share) for the financial year 2023-24. Record date for the purpose of determining the name of the members eligible for receipt of the Interim Dividend will be Friday, November 17, 2023. The dividend would be paid on or after November 29, 2023," said Info Edge (India) in a stock exchange filing.

Info Edge Q2 Results

For the quarter ended September 30, 2023, Info Edge (India) Limited reported an 11.5% growth in its revenue from operations, coming in at Rs. 593 crore on a stand-alone basis, up from Rs. 531.8 crore in the same period of the previous fiscal year. During Q2FY24, the company's operating profit climbed by 26.8% to Rs. 218.9 crore on a standalone basis, up from Rs. 172.5 crore in Q2 of 2023. For the quarter, the standalone firm brought in cash from operations (before tax) of Rs. 250 crore, representing a 14% YoY growth.

The firm reported a 99% YoY rise in its consolidated net profit for the second quarter that ended in September, coming in at Rs 205 crore. In the same quarter of the previous year, the firm generated a profit of Rs 103 crore. Consolidated revenue from operations climbed 3.5% year on year to Rs 625.8 crore in the quarter under review compared to Rs 604.1 crore in the corresponding quarter of the previous year. Info Edge (India) reported an EBITDA of Rs 205 crore, a 103% YoY growth. margin was 32.7% in Q2FY24.

"99acres.com, the real estate vertical of Info Edge continued its growth trend for past few quarters and delivered a strong performance in Q2'24 with revenue growth of 25.2%. The revenues for the quarter in the recruitment business grew 9.1% year on year. Billing of the Company for the quarter grew by 4.8% year on year and stood at Rs. 569 crore," said the company in a stock exchange filing.

Mr. Hitesh Oberoi, Managing Director and Chief Executive Officer said "Good execution in 99acres and Jeevansathi business helped reduce burn in these verticals substantially during the quarter. The Non IT hiring market continued to be strong but a slowdown in IT hiring dragged down Naukri growth."

Info Edge Share Price Target

Ameya Ranadive CMT CFTe-Equity Research Analyst at Choice Broking said, "Naukri, currently trading at 4377, presents an encouraging technical profile, suggesting potential for further gains. This analysis delves into key indicators that highlight the stock's strength and potential for upward movement. Naukri's recent performance has been bolstered by its ability to close above its short, mid, and long-term moving averages (50, 100, and 200 EMA). This indicates a positive trend and solidifies investor confidence in the stock's trajectory. The Relative Strength Index (RSI) at 65 reinforces this sentiment, positioning the stock in a healthy range and dispelling concerns of overbought conditions."

"The Average Directional Index (ADX) stands at a robust 29, indicating a reasonably strong trend. This further supports the notion of Naukri's sustained positive momentum, providing investors with additional assurance. With a substantial support level at 4000, Naukri exhibits resilience in the face of potential market fluctuations. Notably, the stock has established a formidable demand zone since June, emphasizing its attractiveness to buyers. This historical trend underscores Naukri's potential for continued upward movement," the analyst stated.

"Having rebounded from the demand zone, Naukri is currently poised at 4377, signifying a pivotal moment for investors. Should the stock breach the 4500 threshold, it could trigger a substantial uptick, potentially leading to a resurgence towards its 52-week highs, estimated in the range of 4950-5000.

In light of its impressive technical indicators and a well-defined support zone, Naukri presents an enticing opportunity for investors seeking potential growth," Ameya Ranadive claimed.

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.