New 52-Week High: Mid Cap Engg Stock Sets Record Date For Interim Dividend, Buy?

Mid cap Engineering sector stock, Cummins India Ltd has fixed February 21, 2023 as record date for Rs 12 per equity share interim dividend. The stock traded its new 52-week high today. The stock gave a return of 69% in 1-year and 32% in last 6-months. It declared strong earnings for Q3 FY2023 with profit after tax (PAT) soared 50% YoY and 42% QoQ to Rs 479 crore.

Brokerage firm, Sharekhan has assigned buy call to Cummins India with a target price of Rs 1755 apiece showing potential of offering 11% return. Check details below:

1. Cummins India Ltd Sets Record Date For Interim Dividend

According to the regulatory filing, "The Board of Directors at their meeting held on February 08, 2023 have declared an Interim Dividend of Rs. 12/- per equity shares on 277,200,000 equity shares (Face Value Rs. 2/- each) for the Financial Year 2022-23." The company fixed February 21, 2023 as the record date.

2. Cummins India Share Performance & Return

The last trading price of the stock is Rs 1574.75 apiece with an intraday gain of 6.74%. The stock's 52-week high is Rs 1618.00 apiece and 52-week low is Rs 907.05 apiece, respectively.

The stock witnessed spurt in volume by over 12.45 times. The stock rallied 17% in last 3-months, 32% in last 6-months, and 183% in last 3-years.

3. Valuation

Brokerage firm Sharekhan in its December 12, 2023 brokerage report stated, "It has a healthy balance sheet with strong cash and investments of ~Rs. 2,000 crore. We reiterate Buy on the stock with a revised PT of Rs 1,755."

4. Cummins India About

Cummins in India designs, manufactures, distributes and services diesel and alternative fuel engines from 2.8 to 95 liters, diesel and alternative-fueled power generator sets of up to 3000 kW (3750 kVA), as well as related components and technology.

Part of the US $23.6 billion Cummins Inc., Cummins in India serves customers through its network of 3 Generator Original Equipment Manufacturers (GOEMs), 21 dealerships and more than 120 dealership branch offices in India, according to its official website. 

Disclaimer

The stock has been picked from the brokerage report of Sharekhan. Greynium Information Technologies, the Author, and the respective Brokerage House are not liable for any losses caused as a result of decisions based on the article. Goodreturns.in advises users to check with certified experts before taking any investment decision.