Synopsis: Stock announced a Rs. 270 interim dividend (5400%), with May 7, 2026 as the record date. Investors must buy by May 6 to qualify, continuing its strong track record of rewarding shareholders.
The shares of this company, which provides financial software, custom application development, consulting, IT infrastructure management, and outsourced business processing services to the financial services industry, are in the spotlight after it declared a second interim dividend of Rs. 270 per share, with a record date tomorrow.
With a market capitalisation of Rs. 84,482 cr, the shares of Oracle Financial Services Software Ltd were trading at Rs. 9705 per share, up from its previous close of Rs. 9,701.60 per share.
Key Dividend Dates and Amount
Oracle Financial Services Software (OFSS) has declared a second interim dividend of Rs. 270 per share for the financial year 2026, with a face value of Rs. 5; the dividend percentage will be 5400. The company has set May 7, 2026, as the record date to determine eligible shareholders. To qualify for this payout, investors must purchase the shares no later than May 6, 2026, to ensure the stocks are credited to their demat accounts by the record date under the T+1 settlement cycle.
The actual dividend payment is scheduled to be processed on or before May 21, 2026. This follows a consistent history of rewards, including an interim dividend of Rs. 130 per share paid in November 2025 and Rs. 265 per share in May 2025.
Q4FY26 Results
It has delivered strong year-on-year growth as of Mar 2026, with sales rising 20% to Rs. 2,065 Cr from Rs. 1,716 Cr. Profitability improved even faster, with EBITDA up 38% to Rs. 1,056 Cr, indicating margin expansion. Net profit grew 31% to Rs. 842 Cr, while EPS increased 30% to Rs. 96.71.
According to the latest report from Choice Institutional Equities, there is a strong BUY sentiment for Oracle Financial Services Software (OFSS). This outlook is primarily fueled by accelerating deal momentum and a high-margin product mix.
It highlights that the company’s Remaining Performance Obligations (RPO) grew by 9.2% Quarter-on-Quarter, providing much-needed revenue visibility for the medium term. Furthermore, disciplined pricing and improved cost efficiency are expected to drive significant operating leverage.
Financial Projections and Valuation
Looking at the financial projections, Choice Institutional Equities has modeled a steady growth trajectory for the FY26–29E period, forecasting a Compound Annual Growth Rate (CAGR) of 10.3% for Revenue and 13.1% for PAT.
Based on these estimates, Choice has set a Target Price of Rs. 10,890, 12% upside from current levels, valuing the company at 28x its FY28E earnings. They maintain that the stock offers a favorable risk-reward ratio, supported by a robust balance sheet and the scalability of its product-led business model.
It emphasises that the company’s premium valuation is well-justified by its Oracle parentage, which bolsters global market positioning and client trust. By leveraging this relationship alongside its specialized financial software, Choice Institutional Equities believes OFSS is well-positioned to maintain superior margins compared to traditional service-based competitors.
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