Shipping Stock Okays Rs. 6.30/Share Interim Dividend For FY24: Buy/Sell Or Hold?

In the shipping industry, Great Eastern Shipping firm is a mid-cap firm. As of Friday's closing session, its market value was Rs 14,185.21 Cr. The company's two primary lines of operation are offshore and shipping. The shipping industry handles the transportation of dry bulk products, petrol, petroleum products, and crude oil. Through its subsidiary Greatship India Ltd., the offshore business provides oil corporations with offshore exploration and production services. Together with an interim dividend for FY24, the company has released its financial results for the quarter that ended on December 31, 2023.

Great Eastern Shipping Company Dividend

"The Board has declared an interim dividend of Rs. 6.30 per share to the equity shareholders of the Company. The 'Record Date' fixed for the purpose of ascertaining the shareholders eligible for receiving interim dividend is February 12, 2024. The interim dividend will be paid to the shareholders on or after February 27, 2024," said Great Eastern Shipping Company in a stock exchange filing.

Great Eastern Shipping Company Financials

The company's net sales for the December 2023 quarter were Rs. 1,245.13 crore, down 12.38% from Rs. 1,421.03 crore in the December 2022 quarter. Its net profit for the Q3FY24 quarter was Rs. 538.17 crore, down 14.19% from Rs. 627.20 crore in the Q3FY23. EBITDA for the quarter under review was Rs. 800.56 crore, down 10.83% from Rs. 897.81 crore in the same quarter of the prior year.

Great Eastern Shipping Company Share Price Target

Mandar Bhojane - Equity Research Analyst at Choice Broking said GESHIP is presently trading at Rs 984, with the stock price fluctuating in the range of 950 to 1040. It is anticipated to remain sideways within this range. If the price breaches the 1040 level, there is potential for it to further ascend to the 1140 level in the short run, while support is observed near the 950 level.

The Relative Strength Index (RSI) is currently at 54.28 and is trending upward, indicating a significant sideways movement. Stochastic RSI in the oversold region suggests that positional traders may consider maintaining their positions and implementing a trailing stop-loss.

The overall trend for GESHIP is bullish, supported by various technical indicators, reinforcing the optimistic outlook. Given these signals, there is a possibility for the stock to achieve a target price of Rs 1140 in the near term.
It is advisable to consider buying on dips, particularly around Rs 950, to capitalize on potential retracements in the stock price. To prudently manage risk, implementing a stop-loss (SL) at Rs 910 is recommended. This precautionary measure is crucial to safeguard investments in the event of an unexpected market reversal.

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. Goodreturns.in advises users to consult with certified experts before making any investment decision.