Patanjali Foods Turns Ex-Dividend Today For 300%: Buy, Sell Or Hold?

Patanjali Foods is in focus today as the scrip is going to turn ex-dividend today for 300%. The scrip opened today on the BSE at Rs 1288.00 apiece and was trading 1.19% down at Rs 1285.25 while writing this copy.

Patanjali Foods Dividend

For the fiscal year 2022-2023, the Board of Directors recommended a dividend of Rs. 6 per equity share with a face value of Rs. 2 each. The record date has been set as Thursday, September 21, 2023, and the dividend will be paid on or after September 30. The shares will trade ex-dividend today due to the company's T+1 settlement process.

Patanjali Foods has announced an equity dividend of 300.00% at a face value of Rs 2 or Rs 6 per share, for the fiscal year ending March 2023. This generates a dividend yield at the current share price of Rs. 1285 of 0.47%. The company has a solid track record of dividend declarations during the past five years. According to Trendlyne's statistics, Patanjali Foods Ltd. has issued 17 dividends since August 14, 2001.

Patanjali Foods Financials

The fiscal first-quarter earnings for Patanjali Foods was Rs 87.75 crore, a 63.6 percent drop from Rs 241.26 crore in the corresponding quarter of FY23. It reported revenue from operations of Rs 7767.10 crore in Q1FY24, which is a rise of 7.7% over the first quarter of FY23's revenue from operations of Rs 7210.97 crore. EBITDA for the firm was Rs 168.6 crore in Q1FY24, down 57% on a YoY basis. Patanjali reported a total income of Rs 7810.50 crore for the reported quarter, which is a rise of 6% from Rs 7370.08 crore for Q1FY23. However, compared to the same quarter a year prior, the company's total expenses for the quarter ending in June 2023 were Rs 7691 crore, up 9.3%.

Patanjali Foods Share Price Target

Om Mehra of Choice Broking said, "Patanjali Foods, a prominent player in the oil-seed processing and edible oil refining sector, currently stands at a trading price of 1290, following a recent consolidation phase spanning approximately a month. A close examination of its weekly chart reveals a robust support level at around 1250, reinforcing the stock's stability.

Multiple technical indicators and patterns paint an encouraging picture for the stock's future. Notably, it is trading above both its 20-day and 50-day moving averages, signaling a short to medium-term uptrend. The Relative Strength Index (RSI) is rebounding from lower levels, residing comfortably in the positive zone, indicating an increasing appetite among buyers.

The presence of a 23.6 percent Fibonacci retracement level aligning with the 1250 support level adds further credibility to its positive trajectory. The rising volume participation on the daily chart confirms the bullish price action, while a recent breakout from a prior resistance pattern underscores the growing momentum and bullish sentiment among traders.

Bollinger Bands confirm strong buyer interest by positioning the stock above the middle band. Moreover, when compared to the BSE 500 index, Patanjali Foods Ltd has delivered an impressive 8 percent YTD gain, showcasing its relative strength in the market. Long-term investors can hold Patanjali Foods in the short to medium term."

"Ruchi Soya Industries which runs a popular brand PATANJALI has been in the news for many reasons. 1st Recently company posted a 64% decline in its profit and SC permitted a forensic audit of Ruchi Soya Industries. Today it trades at 1285 near 50 days EMA with RSI at 50 and 60 for daily and weekly time frames respectively. Investors who believe in this business category and its brand value can go from 1185 to 1270. Expect Targets in between 1340 to 1645 in the mid-term. Right now it is stuck in a very small and forming aa "Ascending Triangle Chart Pattern". Hence if it breakout this Resistance up to 50% gains possible from current price and that may take up to 6 to 18 month time. Short-term to mid-term investors should keep their exit point or stop loss at 1060 closing based" VLA Ambala (SEBI Regd. RA) suggested on it.

"Patanjali foods is slightly bullish on the Daily charts with strong support at 1256. Investors should buy only if Daily close is above resistance of 1328 for a target of 1399 in the near term," AR Ramachandran from Tips2trades said.

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.