Bulls Thrilled In IT Stocks: 9 Dividend Paying Tech Giants Hit New 1-Year Highs In 1 Day; TCS, HCL Big Winners

IT stocks single-handedly drove the Sensex and Nifty to fresh lifetime highs. The Nifty IT index also touched a new all-time high of 35,947.60, with all stocks turbocharged by bulls. On December 15, the IT index skyrocketed by an overall 1,724.25 points or 5.03% before correcting after market hours. There were no reds, but only greens on this index and interestingly nine high dividend-paying stocks also hit a new 1-year high. These included biggies like HCL Tech, TCS, LTTS, LTIM, Coforge, and Tech Mahindra among others.

These stocks have paid dividends in the range of 50% to a breathtaking 10,900% in 2023 so far.

After market hours, the IT index ended at 35,782.45, up by 1,559.10 points or 4.56%.

Except for Infosys, all 9 other stocks listed on Nifty IT had hit new highs on December 15. Infosys share price ended at Rs 1,576.55 apiece, which was a surge of 5% from the previous closing.

Explaining the blockbuster performance of IT stocks, Vinod Nair, Head of Research at Geojit Financial Services said, "The buoyancy continued in the market as investors were expecting the clouds over US economic growth to recede by H2CY24 and that the economy would achieve a soft landing aided by normalization in monetary policy. The USD/INR witnessed a steep fall on account of the prospects of interest rates being cut next year. The IT index outperformed expectations of a rise in demand in the US economy."

Here is the list of IT stocks that had hit new peaks just like the Nifty IT index, and a detail of their dividend payout in 2023 so far:

HCL Tech:

HCL was the top gainer on the Nifty IT index on Friday. The stock price touched a new 52-week high of Rs 1,497 apiece before ending at Rs 1,493.65 apiece up by 5.6%.

Year-to-date, HCL has paid three interim dividends to a whopping 2000% amounting to Rs 40 per share. It has a dividend yield of 3.22%.

TCS:

India's largest tech company in terms of market share, TCS touched a new 52-week high of Rs 3,895.95 apiece. However, the stock price ended at Rs 3,871 apiece, up by 5.56%. TCS was the second-best stock on Friday.

Tata Group-backed flagship company is also the largest dividend-paying stock in the IT segment in 2023 so far. The company has paid up to 10,900% amounting to Rs 109 per share. Currently, it has a dividend yield of 2.98%.

Persistent Systems:

Persistent's share price clocked a new 52-week high of Rs 7,400.25 apiece, before finishing at Rs 7,212 apiece up by 5.14%. Persistent was the third most gaining stock on Friday.

In 2023 so far, this IT stock has delivered dividends up to Rs 50 per share or 500% to its shareholders. It has a dividend yield of 0.69%.

Coforge:

The stock price soared by 4.24% to end at Rs 6,418 apiece, after hitting a new 52-week high of Rs 6,530 apiece on December 15th.

Coforge paid dividends up to 760% or Rs 76 per share to its shareholders year-to-date. Its dividend yield is at 0.99%.

Tech Mahindra:

Tech Mahindra's share price closed at Rs 1,307.50 apiece, up by 3.4% after hitting a new 52-week high of Rs 1,324.80 apiece on NSE.

So far in 2023, this Mahindra Group-backed flagship tech company paid dividends up to 880% aggregating to Rs 44 per share. Currently, Tech Mahindra has a dividend yield of 3.83%.

L&T Technology Services:

LTTS stock price ended at Rs 5,256.70 apiece up by 3.11% on Friday, after hitting a new 52-week high of Rs 5,294.

This L&T-backed company has paid dividends up to 2,350% valuing to Rs 47 per share. Its dividend yield is at 0.85%.

LTIMindtree:

LTI touched a new 52-week high of Rs 6,215 apiece in trading hours before ending at Rs 6,124.80 apiece up by 3.04% on NSE during Friday.

Also, part of L&T Group, LTIM paid dividends to the tune of 8000% amounting to Rs 80 per share in 2023 so far. It has a dividend yield of 0.98%.

Wipro:

Azim Premji-backed stock touched a new 52-week high of Rs 449.50 apiece before the share ended at Rs 445.80 apiece up by 2.62%.

Compared to its rivals, Wipro has paid the lowest dividend of up to 50% amounting to Re 1 per share. Its dividend yield is also lowest at 0.22%.

Mphasis:

The share price of Mphasis gained by 1.9% after market hours and it settled at RS 2,650 apiece. However, in trading hours on Friday, the stock had hit a new 52-week high of Rs 2,677.80 apiece.

Mphasis has paid dividends up to 500% valuing Rs 50 per share year-to-date. At present, its dividend yield is at 1.88%.

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.