This Largecap Finance Stock Giving 1000% Final Dividend, Ex-date Next Week: Check Details

Bajaj Finance announced a final dividend of 1000% on April 26, 2022. The record date of the dividend will be July 01, 2022. Its ex-dividend date will be on June 30, 2022, which is coming in the next trading week. So, you need to buy the company's shares within June 30, 2022, in order to avail of the dividend benefits.

Stock's performance on NSE

The current market price of Bajaj Finance closed at Rs. 5,581 surging by 2.44%, till last traded on June 24. The 52-week high level of this stock is Rs. 8,050, and the 52-week low level of this stock is Rs. 5,220. In the past 1 year, its stock price has fallen by around 7.55%, and in the past 6 months, its share price has dropped by 19.01%. However, in the long run, the stock price of Bajaj Finance has been sharply profitable for the shareholders, in the past 5 years, its share price has surged by 306.45%. Analyzing the stock's potential, recently ICICI Direct has suggested buying the shares of Bajaj Finance, with a target price of 9500.

Company performances

According to data available with NSE, in Q4 FY22, Bajaj Finance's Total Income stood at Rs. 7,61,708 lakh, as against Rs. 7,52,307 lakh in the previous quarter. The company's Profit before tax (PBT) was reported at Rs. 3,05,946 lakh, as against Rs. 2,60,984 lakh in Q3 FY22. Additionally, its Net Profit stood at Rs. 2,26,795 lakh, as against Rs. 1,93,385 lakh in the earlier quarter. The stock's face value is Rs. 2.00.

What is a dividend and how significant is it for shareholders?

A dividend is known as the reward in a cash payment that is offered by a listed company to its shareholders. When a company makes a significant amount of profit in a quarter or a fiscal year, it can offer a dividend. However, apart from dividends, a company can also bonus shares, it does not want to give the cash payment to the shareholders. But, it is not mandatory for a company to offer dividends after making profits. A company generally announces dividends to attract new investors to buy its shares. So that its liquidity improves.