LIC-backed auto stock: Rs 6.50 Dividend announced in Q4 results - Buy, Sell or Hold?

lic-backed auto stock, bharat forge share price target: rs 6.50 dividend announced in q4 results – buy, sell or hold?

Bharat Forge Share Price Target 2024: Shares of LIC- backed auto & defense component manufacturer company Bharat Forge are marching northward on the bourses on Thursday. The rally came on the back of the company posting its financial results for the quarter and year ended on March 31, 2024, on Wednesday. Along with its results, Bharat Forge has also announced that its board has recommended a whopping 325 per cent dividend for the financial year ended March 31, 2024.

Bharat Forge’s stock opened with gains at Rs 1,409.95 and sprinted to Rs 1,445, just Rs 1.65 shy of its 52-week high of Rs 1,446.55 on BSE on Thursday. While writing the news, the company’s stock was quoted trading in the green at Rs 1,439, up 2.19 per cent from its previous close of Rs 1,408.10 on the BSE.

Brokerage firm CITI has shared their views on the company’s stock for the shareholders.

Bharat Forge Q4 2024 Quarterly Results

Bharat Forge’s profit after tax (PAT) surged to Rs 389 crore in the fourth quarter of FY24 as against Rs 244.5 crore posted in Q4FY23. The company’s revenue jumped to Rs 2,329 crore in the quarter ended March 31, 2014, from Rs 1,997 reported in the corresponding quarter a year ago. Bharat Forge’s margin rose to 28.28 percent in Q4FY24 from 24.44 percent posted in Q4FY23.

Bharat Forge Share Price Target 2024

CITI has maintained its Sell rating on the company’s stock. The brokerage said that the company’s Q4 results were slightly below estimates and added that strong positive commentary was surprising. “Overseas subsidiaries continued to make losses,” said the brokerage.

While maintaining its rating to Sell, CITI has hiked the price target for the scrip to Rs 850 from 800. “We remain uncertain on global demand; uncertainty persists on Indian guns order,” said the brokerage.

Bharat Forge Dividend Announcement 2024

The company, in an exchange filing, has said that the company’s board of directors at their meeting held on Wednesday, May 08, 2024, have recommended a final dividend of Rs 6.50 per equity share of the face value of Rs 2/- each for the financial year ended March 31, 2024. The said dividend payment, however, remains to be approved by the Members of the Company at the ensuing Annual General Meeting.

“Recommended a final dividend of Rs 6.50 per equity share of the face value of Rs. 2/- each (at the rate of 325 percent) for the financial year ended March 31, 2024, subject to the approval of the Members of the Company at the ensuing Annual General Meeting. The final dividend for the financial year ended March 31, 2024,” said the company in a regulatory filing on the BSE.

As per the information available on the exchanges, if approved by members, it will be paid on or after August 14, 2024.

Bharat Forge Share Price History

Bharat Forge is a constituent of S&P BSE 100 index on the BSE. According to BSE analytics, Bharat Forge shares have offered a return of 39.65 per cent in the last six months and 86.22 per cent in the last one year to its investors, as of May 9, 2024.

Bharat Forge shares have a 52-week range of Rs 1,446.55 – Rs 753.10. The company commands a market cap of Rs 67,083.35 crore on BSE. As per the data rooted from Tredlyne, Life Corporation of India (LIC) holds a 1.83 per cent stake in 8,502,462 equity shares of the company as of May 9, 2024.

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