Rs 5/Share Dividend: Record Date In Due Course; Buy The Capital Goods Stock?

With a market valuation of Rs 1,110 Cr, Eimco Elecon (India) is a small-cap company in the capital goods industry. Equipment for opencast and underground mines is manufactured and marketed by Eimco Elecon (India) Limited. It went public in 1992 after its establishment in 1974. The board of directors of Eimco Elecon (India) announced financial results for the quarter that ended on March 31, 2024, along with a dividend of Rs 5 per share on Thursday. On Friday, the shares opened at a 5% upper circuit limit, or Rs 1923.85 apiece after the above piece of news.

Eimco Elecon Dividend

The Board of Directors "Recommended a dividend of 50% (Rs. 5-/- per equity share) on 57,68,385 fully paid equity shares of Rs. 10/- each, for the year ended March 31, 2024, subject to the approval of the shareholders at the ensuing Annual General Meeting (AGM) of the Company, which shall be paid/ dispatched on or before 30 days from the conclusion of AGM," said Eimco Elecon in a regulatory filing on 18th April, 2024.

Eimco Elecon Financials

On a consolidated basis, the company reported a net income of Rs 89.01 Cr in the quarter ended March 31, 2024 compared to Rs 66.61 Cr in the year-ago quarter. Its net expenses reached Rs 69.67 Cr in the quarter under review which was Rs 52.85 Cr in the corresponding quarter of the previous fiscal. The company said its EBIT stood at Rs 19.34 Cr in Q4FY24 as against Rs 13.75 Cr in Q4FY23 whereas quarterly consolidated net profit totalled Rs 14.84 Cr in the March 2024 quarter as against Rs 9.81 Cr in the year-ago quarter.

Eimco Elecon Share Price Target

Eimco Elecon is bullish on the Daily charts with strong support at 1650. A Daily close above resistance of 1897 could lead to a target of 1984 in the near term, said AR Ramachandran from Tips2trades.

Disclaimer

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