Navratna PSU Stock Declares Rs 3/Share Dividend, Q2 PAT Up 21%: Buy?

Container Corporation of India Ltd a Navratna company is engaged in providing logistics solutions. The company has declared Q2 results along with a 60% interim dividend for FY24.

Container Corporation of India Dividend

"The Board has declared 2nd Interim Dividend for FY 2023-24 of 60% i.e. Rs.3.00 per equity share of face value of Rs.5/-each amounting to Rs.182.79 crores. The record date for the purpose of payment of Interim Dividend has been fixed as 16.11.2023. The Interim dividend will be paid/ dispatched to the shareholders on or after 23.11.2023. The payment of dividend will be made within 30 days of its declaration," said Container Corporation of India in a stock exchange filing.

Container Corporation of India Q2 Results

In the second quarter of the fiscal year 2023-24 (Q2 FY24), Container Corporation of India (CONCOR) reported a consolidated net profit of Rs 367.36 crore, up 21.05 per cent YoY from Rs 303.47 crore in Q2FY23. Revenues for the firm climbed year on year (YoY) by 10.5 per cent to Rs 2,194.87 crore from Rs 1,986.34 crore in Q2FY23.

Container Corporation of India Share Price Target

Mandar Bhojane-Equity Research Analyst at Choice Broking said, "CONCOR, which is currently trading at Rs 712, has recently exhibited a bullish pattern known as a "cup and handle" on its daily chart, and this formation was accompanied by notable trading volume. Additionally, CONCOR's stock price is currently trading above crucial Exponential Moving Averages (EMAs), including the 20-day, 50-day, 100-day, and 200-day EMAs, underscoring its strong upward momentum and suggesting the potential for further price increases."

"The Relative Strength Index (RSI) stands at 57.13 and is trending upwards, signalling a growing buying interest. Moreover, the Stochastic Relative Strength Index (Stoch RSI) is indicating a positive crossover. This combination of technical indicators implies that CONCOR may have the potential to reach a target price of Rs 860 in the short term. To effectively manage risk, it is advisable to implement a stop-loss (SL) at Rs 670. This stop-loss level helps safeguard your investment in the event of unforeseen market fluctuations. In summary, considering the technical analysis and the prevailing market conditions, CONCOR presents an appealing buying opportunity for those targeting an Rs 860 price objective, provided that prudent risk management strategies are in place," said the analyst.

Disclaimer

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