Rs 3.50/Share Dividend: Ex-Date On 19th March; Bet On BSE 500 Stock?

As of Friday's closing session, KEI Industries, a large-cap firm in the capital goods sector, has a market capitalization of Rs 29,025.26 Cr. Leading electrical wires & cables manufacturer supplier in India, KEI Industries serves both institutional and retail customers with a broad selection of house wires, cable wires, and flexible wires. The company is also well-established in the Engineering, Procurement, and Construction (EPC) services sector. The firm has declared an interim 175% dividend, with a face value of Rs 2.00 per share, with a record date of March 19, 2024.

KEI Industries Dividend

"The Board of Directors of the Company has approved Declaration of Interim Dividend of Rs. 3.50/- (i.e. @ 175%) per Equity Share of face value of Rs. 2.00/- each for the Financial Year 2023-24. Further as per Regulation 42 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, the Record Date for the purpose of determining of the Equity Shareholders entitled to receive the interim dividend for the financial year 2023-24, has been fixed as Tuesday, the 19th day of March, 2024," said the BSE 500 company in a regulatory filing on 11.03.2024.

KEI Industries Financials

The company reported a net sales of Rs 2,061.72 crore in the December 2023 quarter up 15.55% from Rs. 1,784.32 crore in the December 2022 quarter. Its standalone net profit stood at Rs. 150.67 crore in Q3FY24 up 17.15% from Rs. 128.61 crore in Q3FY23. KEI Industries said its EBITDA reached Rs. 228.71 crore in the quarter reported up 16.72% from Rs. 195.95 crore in the same quarter of the previous financial year.

KEI Industries Share Price Target

"The renowned Electrical Wires and Cables Manufacturer Supplier, KEI, is currently trading at 3224, which is very close to its 20-day Exponential Moving Average (EMA), suggesting a period of consolidation. The stock's current Relative Strength Index (RSI) points at 49 on a daily and 59 on a weekly timeframe. While its daily RSI is somewhat neutral, the weekly RSI hints at a potential pause in its uptrend on the weekly timeframe. In terms of valuation, KEI Industries is currently trading at a lower PE ratio of 50.79 compared to its peers and the broader sector, which stands at 55.71. It could be a sign of potential undervaluation of the stock. Since the market is currently experiencing weaker sentiments, this stock could be a lucrative option to park some funds for the mid or long-term. Those willing to hold KEI Industries for the mid to long term may set the stop loss at the 2900 range, with an expected target between 3400 and 4000 for the next eight months," said V.L.A. Ambala, a Research Analyst (SEBI Registered), Co-founder - Stock Market Today (SMT).

Disclaimer

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