PSU Company To Okay Dividend & 1st Ever Stock Split, Record Date Fixed: Bet On The Miniratna Stock?

During Tuesday's closing session, Bharat Dynamics Ltd., a large-cap company in the defense industry, had a market capitalization of Rs 32,883.41 Cr. Bharat Dynamics Limited (BDL), which has its headquarters in Hyderabad, was established on July 16, 1970, as a Public Sector Undertaking under the jurisdiction of the Ministry of Defence, Government of India. The Miniratna-designated company produces and supplies the Indian Armed Forces with a range of missiles and related equipment.

Bharat Dynamics News

"With reference to our intimation dated March 1, 2024, regarding Board Meeting to be held on Friday, 15th March 2024, we hereby intimate the Stock Exchanges as per the provisions of Regulation 29 of the SEBI (LODR) Regulations 2015, that the said Meeting of the Board of Directors of the Company is rescheduled to Thursday, 21st March 2024 inter-alia to consider and approve-

(a) Payment of Interim Dividend for the financial year 2023-24

(b) Sub-division / Split of Equity Shares of the company pursuant to the provisions of section 61(1)(d) of the Companies Act,2013," said Bharat Dynamics in a regulatory filing.

Bharat Dynamics Interim Dividend Record Date

"Further, the Company has changed the "Record Date" to Tuesday, 02nd April 2024 for the purpose of payment of Interim Dividend on Equity Shares for the Financial Year 2023-24, if declared by the Board. We further wish to inform that in pursuance to SEBI (Prohibition of Insider Trading) Regulations 2015 the Trading Window for dealing in the securities of the Company shall remain closed for all Insiders including Designated Persons and their immediate relatives from 01 March 2024 till 48 hours after the announcement of decision of Board of Directors regarding payment of Interim Dividend, if any, is made public on 21st March 2024," said the Board of Directors of BDL in a stock exchange filing on Tuesday.

Bharat Dynamics Share Price Target

Deven Mehata, Equity Research Analyst at Choice Broking said BDL is presently trading at Rs 1838, showing strength as it remains above the breakout level of Rs 1800. The stock has been exhibiting a sideways movement within the range of Rs 1800 to Rs 1930, fueling expectations of an imminent upward trend. The potential target for this upward movement is estimated at Rs 2100. On the downside, solid support is identified around Rs 1780.

Additionally, BDL is trading above crucial Exponential Moving Averages (EMAs) such as the 20-day, 50-day, 100-day, and 200-day EMAs, indicating robust bullish momentum. This suggests a favorable environment for further upward price movement. The Relative Strength Index (RSI) currently stands at 57.50, signalling an upward trajectory and highlighting increased buying momentum.

Furthermore, the Stochastic Relative Strength Index (Stoch RSI) displays a positive crossover, adding to the positive technical outlook. Taken together, these technical indicators strongly imply that BDL has the potential to reach the target price of Rs 2100 in the near term.

To effectively manage risk, it is prudent to set a stop-loss (SL) at Rs 1780, safeguarding the investment in case of an unforeseen market reversal. A recommended strategy would be to consider buying on dips, particularly at levels around Rs 1800.

In summary, given the current market conditions and the findings from technical analysis, BDL appears to present a promising buying opportunity for investors aiming for a Rs 2100 price target. However, it is essential to implement prudent risk management strategies to navigate potential market uncertainties.

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.