Bluechip stock Britannia Industries to turn ex-dividend tomorrow for 7200% interim dividend payout

The Board of Directors of the company have declared an interim dividend @ 7200% i.e., Rs. 72/‐ per share of face value of Re. 1/‐  each for the FY 2022‐23. For the purpose of the same, the record date has been fixed as Thursday, 13th April, 2023 for determining the eligibility of shareholders for payment of interim dividend.

Britannia Industries has announced an equity dividend of 5650.00% at a face value of ₹1, or ₹56.5 per share, for the fiscal year ended March 2022. This generates a dividend yield of 1.32% at the current share price of ₹4,282. The company has a solid track record of dividend declarations during the past five years. Britannia Industries Ltd. has issued 25 dividends since July 2, 2001, according to Trendlyne statistics.

The shares of Britannia Industries closed today on the NSE at ₹4,282 apiece level, up by 0.11% from the previous close of ₹4,277.35. The stock touched a 52-week-high of ₹4,669.20 on (10-Feb-2023) and a 52-week-low of ₹3,132.05 on (25-Apr-2022).

Commenting on the technical outlook of the stock, Rahul Ghose, Founder & CEO – Hedged, an algorithm-powered advisory platform said “The Brittania stock has been struggling to close beyond its 20 day EMA for quite some time now. The downward trend of the stock for the last couple of months has brought its valuations to a fair level currently coupled with a high ROCE that the company has. Although valuations are fair, from a technical point of view, the stock is not yet a buy at the current levels. The Buy in this stock triggers only above the 4375 level, where an inverse head and shoulder pattern gets confirmed. A breakout above this level would be a bullish indication as it would also ensure a close above some key moving averages in the short term. Once triggered, Investors can hold this stock for the long term with a SL at 4150.”

Commenting on the fundamental outlook of the stock, Kaustubh Pawaskar, DVP Fundamental Research at Sharekhan by BNP Paribas said “Britannia has widened the gap with the No. 2 player consistently for the past six years and focuses on expanding it further. With sustained market share gains, new product launches, and higher traction on new channels (including e-commerce), we expect Britannia’s core biscuit category to beat the industry’s growth in the medium term. The company is going big with the dairy segment, making strong investments in introducing new products. This along with scale-up in the revenue of the adjacent categories and efficiencies would help Britannia achieve double-digit earnings growth of 20% over FY2022-FY2025E. Inflation in the input prices (including wheat) continues to remain risk to its earnings growth in the near term. Its stock has remained stable for past three months. We recommend Buy on Britannia from long term perspective.”