180% Dividends YTD; As Nifty Nears 21,500, BEL, NTPC, SJVN, 2 Other CPSE Stocks Hit New High; Buy Or Sell?

December month so far has been riding on the back of bulls with Sensex and Nifty hitting back-to-back new lifetime highs. Currently, Sensex has crossed over 71,000 mark and Nifty is above 21,450 levels while a couple of points shy of 21,500. Broad-based buying has taken place across sectoral indices right from midcaps to penny stocks. Among these, CPSE stocks were also bolstering and some of them have touched new 52-week highs as well.

Nifty CPSE ended over 2% up to 4,682.30 on Friday. A total of 5 dividend-paying PSU stocks have touched new 52-week highs. Of these, one was a defence giant, another was an infrastructure major, and three of them were among major power companies. CPSE stocks are those which are owned by government of India.

If you own these stocks, here's how they have performed and how much dividend they have paid in 2023 so far:

Bharat Electronics (BEL):

Among the top defence companies, BEL has also paid hefty dividends to its shareholders. In the past 12 months, the company paid Rs 1.8 per share dividends aggregating to 180%.

On the current market price, BEL's dividend yield is at 1.06%.

On December 15th, BEL touched a new 52-week high of Rs 170.20 apiece before ending at Rs 169.35 apiece up by 3.3%. YTD, BEL has gained by 69%, while in 5-year performance, the stock price is a multi-bagger with nearly 475% upside.

As per the Trendlyne data, the consensus recommendation from 25 analysts for Bharat Electronics is BUY. EPS is expected to grow by 16.3% in FY24. Also, the stock's Return on Equity(ROE) for the last financial year was 21.53%, more than 20% in the last financial year, indicating an efficient use of shareholder's capital to generate profit.

NTPC:

Power generating firm, NTPC has paid 95% dividends in the last 12 months. Currently, its dividend yield is at 3.11%.

NTPC on NSE ended at Rs 305 apiece, up by 3.3% after hitting a new 52-week high of Rs 307 apiece.

The Trendlyne data showed that the consensus recommendation from 22 analysts for NTPC is BUY. EPS is expected to grow by 9.1% in FY24. Its Return on Equity(ROE) for the last financial year was 11%, in the normal range of 10% to 20%.

YTD, the stock price has zoomed nearly 82%. In 5-years, the stock has jumped by more than 143%.

Power Grid:

Another powerhouse stock, Power Grid clocked a new 52-week high of Rs 238.10 apiece before ending at Rs 237.30 apiece, up by 2.24%.

The company has delivered up to 137.5% dividend aggregating to Rs 18.75 per share. On the current market price, the company's dividend yield is at 7.9%.

So far in 2023, Power Grid shares advanced by over 47%. In 5-years the stock has rallied by a whopping 114.25%.

The Trendlyne data said that the consensus recommendation from 19 analysts for Power Grid Corporation of India is HOLD, however, EPS is expected to reduce by 1.1% in FY24. Meanwhile, the Return on Equity(ROE) for the last financial year was 18.57%, in the normal range of 10% to 20%.

NBCC:

Navratna construction company, NBCC has paid up to 54% dividends in 2023 so far, aggregating to Rs 0.54 per share. Currently, it has a dividend yield of 0.66%.

On NSE, this CPSE stock touched a new 52-week high of Rs 85.90 apiece on Friday's trading session before ending at Rs 82.05 apiece, down by 0.6%. In the closing hours, NBCC witnessed profit booking after a sharp rise.

YTD, the stock is a multi-bagger with a whopping 102% gain. In a year, the stock is up by 101.4%.

Unlike the above-mentioned stocks, as per Trendlyne, the consensus recommendation from 4 analysts for NBCC (India) is SELL. However, EPS is expected to grow by 26.3% in FY24. Also, the Return on Equity(ROE) for the last financial year was 13.71%, in the normal range of 10% to 20%.

SJVN:

Hydroelectric power generation company, SJVN also touched a new 52-week high of Rs 100.40 apiece, before ending at Rs 95.95 a piece, down by 1.54% on NSE after market hours of Friday. After hitting new levels, SJVN also witnessed profit booking.

Year-to-date, SJVN's share price has rallied by a huge 174% on the exchange. In a year, the stock advanced by over 158%, and in 5 years the upside is over 283%.

In 2023, so far, the company paid a dividend of about 17.70% amounting to Rs 1.77 per share. Its current dividend yield is at 1.84%.

According to the Trendlyne data, the consensus recommendation from 4 analysts for SJVN is BUY. EPS is expected to grow by 6.9% in FY24. However, unlike the above-mentioned counterparts, SJVN's return on equity (ROE) for the last financial year was 9%, less than 10%, indicating an inefficient use of shareholder's capital to generate profit.

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.