360% Dividend/Share: Mid Cap Multibagger Stock To Trade Ex-Dividend Tomorrow

Redington Ltd is a mid cap company that deals in the commercial Services sector. The company offers technological solutions in more than 38 markets through a network of 290 worldwide brands in the IT and mobility sectors. The company has recommended a whopping dividend of 360% for the financial year ended March 31, 2023. Since the record date is falling tomorrow the stock is going to trade ex-dividend on the same date i.e. Friday, July 7, 2023 due to the T+1 settlement policy of the company.

The Board of Directors have "Recommended dividend of Rs. 7.20 (360%) per equity share of Rs. 2/- each for the year ended March 31, 2023, subject to the approval of shareholders of the company at the ensuing Annual General Meeting ('AGM'). The dividend will be paid within 30 days from the date of the ensuing AGM of the Company. The Record date for payment of dividend, as recommended by the Board, is fixed as Friday, July 7, 2023," said Redington in a stock exchange filing.

Redington has announced an equity dividend of 360.00% at a face value of Rs 2, or Rs 7.2 per share, for the financial year ended March 2023. This generates a dividend yield at the current share price of Rs. 193.35 of 3.73%. The company has a solid track record of dividend declarations during the past five years. Redington Ltd. has issued 20 dividends since July 18, 2007, according to Trendlyne statistics. Redington Ltd. announced an equity dividend worth Rs 6.60 per share over the previous 12 months. This provides a dividend yield at the current share price of 3.43%.

The firm declared a standalone profit of Rs 124.91 Cr for the quarter ending March 31, 2023, up from Rs 123.46 Cr during the same period the year prior. The standalone profit jumped from Rs 935.07 crore in the previous fiscal to Rs 1,071.88 crore for the year ended March 31, 2023. In comparison to Q4FY22, when the total income was reported at Rs 7,790.74 crore, Q4FY23 saw a rise to Rs 9,718.57 crore. For the year ended FY23 its net income reached Rs 35,862.14 crore from Rs 27,506.47 crore registered in 12MFY22. The company is yet to announce its Q1FY24 results.

On Thursday, the shares of Redington opened on the BSE at Rs 193.35 apiece. The stock made a 52-week-high of Rs 202.20 on (12/12/2022) and a 52-week-low of Rs 118.00 on (25/07/2022). During Q4FY23, the company reported FIIs stake of 60.50%, DIIs stake of 16.68%, Govt stake of 0.01% and public stake of 22.82%. The stock price jumped from Rs 46.45 to the current market price during the past three years, resulting in a multibagger return of 330%. The stock price climbed from Rs 58.68 to the current market price during the past five years, resulting in a multibagger return of 227%. The stock climbed by 49.59% during the past year, and YTD in 2023, it has gained 3%.