Rs 15/Share Dividend: Record Date In Next Week On 8th April; Buy To Be Eligible?

As of Friday's BSE closing session, Indian Metals and Ferro Alloys Ltd (IMFA), a small-cap company in the commodity sector, has a market capitalization of Rs 3,975 Cr. The firm, with 190 MVA installed furnace capacity, 204.55 MW captive power generating capacity (including 4.55 MW solar) and huge chrome ore mining areas, is India's foremost fully integrated manufacturer of value-added ferro chrome. During the last trading session on 5th April, the stock reached a record high at Rs 749.95 apiece and closed 0.46% higher at Rs 736.70 on BSE ahead of trading ex-dividend on 8th April. The company has declared a special dividend of 150% at a face value of Rs 10 for which 08/04/2024 has been fixed as the record date which is also its ex-dividend date owing to the T+1 settlement mechanism.

Indian Metals and Ferro Alloys Dividend

The Board of Directors of the company at their meeting held on 29th March 2024, inter alia, has approved and "Declared Special Dividend of INR 15/- (Rupees fifteen only) per equity share of INR 10/- each for financial year ending 31st March 2024. As intimated vide our letter dated 22nd March 2024, the record date for reckoning the list of shareholders who shall be entitled to receive the said Special Dividend shall be Monday, 8th April 2024. The Special Dividend will be paid to such shareholders on or before Saturday the 27th April 2024," said Indian Metals and Ferro Alloys in a regulatory filing.

Indian Metals and Ferro Alloys Financials

In the December 2023 quarter, Indian Metals & Ferro Alloys Ltd (IMFA) reported an enormous spike in its consolidated net profit to Rs 108.95 crore, up from a profit of Rs 11.04 crore in the October-December quarter of the 2022-2023 fiscal year. From Rs 631.84 crore in Q3FY23 to Rs 695.02 crore in Q3FY24, the company's total income climbed. From Rs 605.61 crore in the third quarter of FY23 to Rs 549.44 crore in the quarter reported, the company's expenses dropped as per a stock exchange filing.

Indian Metals and Ferro Alloys Share Price Target

Mandar Bhojane - Equity Research Analyst at Choice Broking said IMFA is presently valued at Rs 737.15. A breakout of the daily horizontal trendline, accompanied by consistent higher highs and higher lows on the daily chart, along with robust trading volume, indicates a strong upward trajectory in the stock.

The Relative Strength Index (RSI) currently stands at 75.61 and is trending upwards, suggesting a significant surge in buying momentum. Both RSI and Stochastic RSI are in the overbought region, indicating that positional traders may consider holding their positions and implementing a trailing stop-loss.

The overall trend for IMFA is bullish, with various technical indicators reinforcing the optimistic outlook. Given these signals, there is potential for the stock to reach target prices of Rs 900 & Rs 1000 in the near term.

It is advisable to consider buying on dips, especially around Rs 645, to capitalize on potential retracements in the stock price. To prudently manage risk, implementing a stop-loss (SL) at Rs 625 is recommended. This precautionary measure is crucial to safeguard investments in the event of an unexpected market reversal.

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.