Rs 55/Share Dividend: IT Stock Will Hit Ex-Date On July 10, Buy Recommended For TP Rs 2700

Mid-sized IT Services firm Mphasis Ltd share will trade ex-dividend on July 10, 2024 for Rs 55/share dividend. Last trading price of Mphasis share on BSE is Rs 2628.65 per share. The company's market capitalisation stood at Rs 49,705.80 crore. Mphasis shares offered return of 7% in last 1-week and rose 40% in last 1-year. Brokerage firm IIFL Securities recommended buy call to Mphasis share with target price of Rs 2700 per share and keep stop loss at Rs 2518 per share. Check key details below:

Mphasis Ltd Shares Set To Trade Ex-Dividend: As per the regulatory filing of Mphasis Ltd issued as on April 25, "recommendation of dividend of Rs 55 /- per equity share of Rs 10/- each for the year ended 31 March 2024, which is subject to approval of the shareholders at the ensuing Annual General Meeting. The dividend, if declared at the ensuing Annual General Meeting of the Company, will be paid within 30 days of the Annual General Meeting, to those shareholders, whose bank account details are registered with the respective Depository participant(s) or with the Registrar and Share Transfer Agent of the Company."

Block Deal: Earlier this year, a block deal consisting 2.95 crore shares, constituting 15.6% stake in Mphasis happened on June 10. The transaction reportedly happened at an average price of Rs 2,392 per share and was worth Rs 7066 crore. Private equity firm Blackstone reportedly wanted to sell 10.6% stake in Mphasis via block deals. Report stated, the deal included a 180-day lock-in period for the shares involved. BCP Topco, a private limited company incorporated in Singapore, is linked to Blackstone.

Mphasis Share Performance & Return: The 52-week high price of Mphasis share on BSE is Rs 2,835.00 apiece (as on 19/02/2024) and 52-week low price is Rs 1850.50 (as on 10/07/2023), respectively. Mphasis shares slipped 3.80% year-to-date, surged 21% in last 2-years, and gained 168% in last 5-years.

Mphasis Financials: Mphasis for the quarter ended March 2024 announced a fall of 2.9% in net profit at Rs 393.22 crore as against Rs 405.31 crore declared in the similar quarter of last year. The fall in profit took place as a result of 10% YoY degrowth in the banking, financial services (BFS) segment which forms almost half of its revenues. It registered a 10.8% YoY fall in its top 1-10 client metrics due to BFS related dip in initial part of the year, according to the BSE filing. Sequentially, profit zoomed 5.2% from Rs 373.6 crore in the preceding quarter ending December 2023.

About: Mphasis' purpose is to be the "Driver in Driverless Car" for Global Enterprises by applying next-generation design, architecture and engineering services, to deliver scalable and sustainable software and technology solutions. Mphasis' core reference architectures and tools, speed and innovation with domain expertise and specialization , combined with an integrated sustainability and purpose-led approach across its operations and solutions are key to building strong relationships with marquee clients, according to its official website.

Disclaimer: The stock has been picked from the brokerage report of IIFL 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.