PSU Stock Dividend: Miniratna Company Sets Record Date, Gets Buy Call For 21% Upside

Miniratna company, RITES Ltd fixed February 17, 2023 as record date for 3rd interim dividend. The stock gave 24% return in last 6-months and 28% return in last 1-year.

The mid cap stock, operating in Services sector has a market capitalisation of Rs 8,082.55 crore. Axis Securities has assigned buy call to RITES Ltd with a target price of Rs 405 apiece. If you buy RITES Ltd, you can get potential 21% return. Check details pertaining to the stock:

1. RITES Ltd Fixes Record Date For 3rd Interim Dividend

The board of directors of RITES Lts stated in the BSE filing, "The Board of Directors in their Board Meeting held on February 09, 2023 have declared third interim dividend for the Financial Year 2022-23 at the rate of Rs. 6 per share (60 % of paid-up share capital) of the company. Further, as intimated earlier vide our letter no. RITES/SECY/NSE, dated 19.01.2023, the record date set for the purpose of payment of third interim dividend for Financial Year 2022-23 is February 17, 2023."

2. RITES Ltd Stock Performance & Return

The last trading price of the stock is Rs 335.00 apiece with intraday gain of 1.32%. The stock's 52-week high is Rs 433.20 apiece and 52-week low is Rs 226.05 apiece, respectively.

The stock gave a return of 3% in last 1-month, declined 11% in last 3-months, soared 28% in last 1-year, and 11% in last 5-years.

3. RITES Ltd Valuation

According to Axis Securities's brokerage report dated December 12, 2022, "We continue to like the company's execution capability and its order book position, clean balance sheet and high dividend payout and expect Revenues/EBITDA/APAT to grow at a CAGR of 18%/18%/14% respectively over FY21-24E. We recommend a BUY rating on the stock with a TP of Rs. 405/ share."

4. RITES About

RITES- a Miniratna (Schedule A) CPSE under the Ministry of Railways, is an engineering consultancy company. It is a leading multi-disciplinary engineering and consultancy organization specialized in the field of transport infrastructure providing diversified and comprehensive services from concept to commissioning.

The company is a preferred consultancy organization for Government of India (GoI) including Indian Railways.

Disclaimer

The stock has been picked from the brokerage report of Axis Securities. 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.