Rakesh Jhunjhunwala Portfolio Stock Okays Rs 28 Final Dividend: Buy?

On Monday, the shares of CRISIL LTD reached an all-time high at Rs 5,195.55 apiece before closing with an upside gap of 9.49% at Rs 5039.45 apiece. The company's financial performance for the quarter ending December 31, 2023, in addition to a final dividend recommendation of Rs 28 per share for FY24, prompted the value of Rakesh Jhunjhunwala portfolio stock to rise.

CRISIL Dividend

"For the year ended December 31, 2023, the company paid three interim dividends totalling Rs 26 per equity share of face value of Re 1 each. The Board of Directors has recommended a final dividend of Rs 28 per share (of Re 1 face value). The total dividend for the year works out to Rs 54 per share," said CRISIL in a stock exchange filing.

CRISIL Financials

For the quarter that ended on December 31, 2023, CRISIL's consolidated revenue from operations climbed 11.6% to Rs 917.7 crore from Rs 822.3 crore during the same period the previous year. Compared to Rs 840.6 crore in the same quarter the previous year, the consolidated total income for the quarter that ended on December 31, 2023, climbed 13.4% to Rs 953.6 crore. The company said its net profit stood at Rs 210.1 crore in Q3FY24 up by 33.0% YoY from Rs 158 Cr in Q3FY23.

Amish Mehta, Managing Director & CEO, CRISIL said, "The global macroeconomic situation remained complex in 2023. World growth was higher than expected and inflation, despite peaking, was above target for many central banks. India showed resilience and emerged as the world's fastest-growing major economy. We saw growth across our businesses despite macro uncertainties and cost pressure on global clients. In 2024, the expected soft landing of the global economy could have a bearing on discretionary spends by global clients. We remain focused on customer centricity and delivering value to all our stakeholders through investments in technology, talent and new solutions."

CRISIL Share Price Target

Mandar Bhojane - Equity Research Analyst at Choice Broking said CRISIL is currently trading near its all-time high at Rs 5011.2, showcasing a pattern of establishing new higher highs and higher lows, accompanied by robust trading volume. This trend signals strong momentum in the stock. There is potential for CRISIL to attain a target price of Rs 5333 in the near term, making it advisable to consider purchasing on dips, particularly around Rs 4700.

Furthermore, CRISIL is positioned above key Exponential Moving Averages (EMAs), including the 20-day, 50-day, 100-day, and 200-day EMAs. This alignment above these crucial EMAs enhances the bullish outlook, suggesting the possibility of a sustained upward price movement.

To effectively manage risk, it is recommended to implement a stop-loss (SL) at Rs 4555. This precautionary measure is crucial to safeguard your investment in the event of an unexpected market reversal.

In summary, considering the technical analysis and current market conditions, CRISIL appears to present an attractive buying opportunity for those aiming for a Rs 5333 price target, provided that prudent risk management measures are in place.

Rakesh Jhunjhunwala Shareholding In CRISIL

As per the shareholding pattern of the company for Q3FY24, late big bull of India Rakesh Jhunjhunwala held 40,00,000 shares which is 5.47% of the total paid-up share capital of CRISIL.

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.