1:1 Bonus, Rs 5/Dividend Last Date On September 20: Navratna PSU Stock In Focus, Rises 36% YTD; Time To BUY?

Navratna PSU giant, RITES Ltd. share price surged sharply by nearly 6% on Thursday, ahead of its ex-dividend and ex-split date on September 20. However, in the closing bell, RITES witnessed correction and ended marginally up. At the latest, majority of consensus recommendation on RITES share price is HOLD, with potential of single-digit gains ahead.

RITES is set to deliver bonus shares and dividend ahead.

The Navratna company will reward investors with a final dividend of 50% worth Rs 5 per share in the coming weeks. The record date to determine eligible shareholders is set on September 20, 2024, which is also the ex-dividend date.

Earlier, for FY24, the company paid three interim dividends. The first interim dividend was 45% worth Rs 4.50 per share, while the second interim dividend was 47.5% valued to Rs 4.75 per share, and the third interim dividend stood at 25% worth Rs 2.50 per share before the upcoming final dividend.

Also, The company has also fixed September 20 as the record date to determine eligible shareholders for its bonus issue ratio of 1:1. This will be RITES' second bonus share since 2019.

The ratio of 1:1 means that RITES will issue 1 free equity share on existing 1 equity.

In 2019, on August 8, RITES turned ex-bonus for its bonus shares of 1:4 ratio.