Multibagger IT Stock Okays Rs. 6.80 Interim Dividend After 109% YTD Gain: Buy?

In the IT industry, R Systems International Ltd. is a small-cap company. As of Friday's closing session, its market valuation was Rs 6,261.21 Cr. Following the announcement by the firm of an interim dividend of Rs. 6.80 per share for FY24, the stock closed 2.22% higher at Rs. 529.25 on the BSE.

R Systems International Dividend

"We wish to inform you as required in terms of Regulation 30, 42, 43 and other applicable provisions of the SEBI (Listing Obligations & Disclosure Requirements) Regulations, 2015 (the "Listing Regulations"), the Board of Directors of R Systems International Limited (the "Company"/ "R Systems") at its meeting held on December 13, 2023, commenced at 6:03 PM (IST) and concluded at 6:30 P.M.(IST) has inter-alia approved the payment of Interim Dividend for the year 2023 at the rate of Rs. 6.80/- per equity share of face value of Re. 1/- each. Interim Dividend for the year 2023 will be paid on or before January 11, 2024. The Record Date for the purpose of determining entitlement of the shareholders to the Interim Dividend for the financial year 2023 is December 22, 2023," said R Systems International in a stock exchange filing.

R Systems International Financials

On a consolidated basis, the company reported net sales of Rs 457.35 crore in the September 2023 quarter up 14.84% from Rs. 398.24 crore in the September 2022 quarter. A 19.53% rise from Rs. 36.79 crore in Q2FY23 to Rs. 43.98 crore in Q2FY24 represented its net profit. From Rs. 55.33 crores in the same quarter of the previous fiscal year, to Rs. 82.42 crores, its EBITDA increased by 48.96% YoY,

R Systems International Share Price History

The stock price went up from Rs 47.90 to the current market price during the previous five years, resulting in a multibagger return of 1,000.31%. The stock price climbed from Rs 125.45 to the current market price during the previous three years, yielding a multibagger return of 327.50%. The stock price soared from Rs 265.65 to the current market price in the past year, yielding a multibagger return of 98.59%. The stock price shot up from Rs 252.65 to the current market price on a YTD basis, resulting in a multibagger return of 109% so far in 2023. The scrip reached a 52-week-high of Rs 544.00 on (31/07/2023) and a 52-week-low of Rs 237.00 on (01/02/2023), indicating that at the current market price of Rs 529.25, the stock has gained 123.31% from its 1 year low and is trading 2.71% lower from its 1 year high.

R Systems International Share Price Target

Deven Mehata-Equity Research Analyst at Choice Broking said, "RSYSTEMINT is presently trading at 526 levels, closely approaching its all-time high levels. Over the last five days, the stock has exhibited strength, rebounding from robust support at 470 levels. Notably, it is trading above its short-term (20-Day), medium-term (50-Day), and long-term (200-Day) Exponential Moving Average (EMA) levels, affirming its overall strength. A minor resistance is noted in the vicinity of 538-540 levels. A successful breach of this resistance could potentially set the stage for an upward movement towards the long-term target range of 680-740 levels, based on trend-based Fibonacci extension analysis. Investors may consider purchasing the stock on potential dips, maintaining a stop-loss around 470 levels on a closing basis. For those holding positions from lower levels, adopting a trailing stop-loss strategy at 470 levels is advisable."

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.