A dividend-paying stock allows investors to profit in two ways: capital appreciation of the stock price and distribution of funds made by the company (Dividend). In comparison to broader markets, high dividend yield stocks limit downside risk and are thus better positioned for economic downturns. During major market falls, high dividend yield stocks provide a cushion against market volatility, bringing stability to investment portfolios.
Here are 5 Nifty 50 high dividend-paying stocks;
Coal India Limited(CIL):
Coal India Ltd is engaged in the mining and extraction of coal in india. The company also produces non-coking coal and coking coal of various grades. The company caters to thermal power generation companies, steel and cement producers, and other industrial companies in the public and private sectors.
The company’s shares were trading at Rs 230.20 per share on June 7th and it is a large-cap company with a market valuation of Rs 1,41,866 crores. As of FY23, the company’s dividend yield was 9.29 percent. The board of directors announced a final dividend of Rs 4 per share of the face value of Rs 10 for the year ended March FY23.
According to the company’s financials, operating revenues increased by 26 percent from Rs 1,09,713 crores in FY 21-22 to Rs 1,38,251 crores in FY 22-23. Over the same time period, PAT increased from Rs 17,387 crores to Rs 28,133 crores.
Power Grid Corporation of India Ltd(PGCIL):
Power Grid Corporation of India Limited is engaged in electric power transmission across india. The company also set up extra-high voltage alternating current and high-voltage direct current (HVDC) transmission lines between the states.
The company’s shares were trading at Rs 238.80 per share on June 7th and it is a large-cap company with a market valuation of Rs 1,66,573 crores. As of FY23, the company’s dividend yield was 6.80 percent. The board of directors declared a dividend of Rs 4.75 per equity share with a face value of Rs 10 for the fiscal year that ended March 31, 2023.
According to the company’s financials, operational sales climbed by 9.5 percent from Rs 41,616 crores in FY 21-22 to Rs 45,581 crores in FY 22-23. PAT fell from Rs 16,745 crores to Rs 15,499 crores during the same period.
Oil and Natural Gas Corporation Ltd(ONGC):
Oil & Natural Gas Corporation Ltd deals in the exploration, development, and production of Crude Oil, Natural Gas, and LPG. It is India’s largest crude oil and natural gas company, accounting for 71% of domestic production.
On June 7th, the company’s shares were trading at Rs 153.55 a share, and it is a large-cap company with a market capitalization of Rs 1,93,170 crores. The company’s dividend yield is 6.41 percent as of FY23. The board of directors announced an interim dividend of 215 percent (Rs. 10.75 per share), and the final dividend of 10 percent (Rs.0.50 per share)for the year ended March 31, 2023.
According to the company’s financials, operating revenues increased by 39 percent from Rs 4,91,269 crores in FY 21-22 to Rs 6,84,289 crores in FY 22-23. Over the same time period, PAT significantly declined from Rs 47,830 crores to Rs 32,743 crores.
National Thermal Power Corporation Limited(NTPC):
NTPC Ltd is engaged in integrated power generation business. The business areas of the company include Power Generation, Consultancy services, Power trading, and Coal mining. The company owns 17% of the total installed power generating capacity in India with ~22% market share in electricity generation in India.
The company’s shares were trading at Rs 176.50 per share on June 7th and it is a large-cap company with a market valuation of Rs 1,70,709 crores. As of FY23, the company’s dividend yield is 5.91 percent. The board recommended a final dividend of Rs 3 share for FY23,
According to the company’s financials, operating revenues increased by 33 percent from Rs 1,32,669 crores in FY 21-22 to Rs 1,76,206 crores in FY 22-23. Over the same time period, PAT increased from Rs 15,940 crores to Rs 16,341 crores.
India Tobacco Company Limited(ITC):
ITC Ltd is the largest cigarette manufacturer and seller in the country. ITC operates in five business segments such as FMCG, Hotels, Paperboards, Paper and Packaging, and Agri-Business. In FY22, the company accounted for 78% of its revenue from India’s business.
The company’s shares were trading at Rs 443.40 per share on June 7th and it is a large cap company with a market valuation of Rs 5,50,934 crores. As of FY23, the company’s dividend yield is 4.59 percent. The board declared a final dividend of Rs 6.75 as well as a special dividend of Rs 2.75 per ordinary share for FY23.
According to the company’s financials, operating revenues increased by17 percent from Rs 60,668 crores in FY 21-22 to Rs 70,936 crores in FY 22-23. Over the same time period, PAT rose from Rs 15,485 crores to Rs 19,427 crores.
Written By Omkar C
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