Two Nifty stocks to trade ex-dividend this week. Do you own any?
Nifty companies — TCS and HCL Tech — will trade ex-dividend this week with respect to the interim dividends announced along with their second-quarter results.
The board of TCS had approved a second interim dividend of Rs 9 per share for the financial year ending 2024.
The record date for the second interim dividend is fixed as October 19 and the stock will trade ex-dividend on the same date.
Shares of companies usually trade ex-dividend on the day or a day before the record date. When a company goes ex-dividend on a particular date, its stock does not carry the value of the next dividend payment.
An ex-dividend date also dictates which shareholders are eligible to receive the dividend payment.
The second interim dividend will be paid on November 7 to eligible equity shareholders of the company whose names appear on the register of members of the company or in the records of the depositories as beneficial owners of the shares as of the record date.
The IT bellwether company has declared an equity dividend amounting to Rs 116 in the last one-year period, which results in a dividend yield of 3.21%.
Apart from the dividend, the board has also approved to buyback shares worth Rs 17,000 crore at Rs 4,150 apiece.
The buyback is proposed to be made from the existing shareholders of the company as on the record date on a proportionate basis under the tender offer route using the stock exchange mechanism.
TCS posted 9% growth in its second-quarter net profit at Rs 11,342 crore. Revenue from operations rose 8% YoY to Rs 59,692 crore.
Meanwhile, another IT company HCL Tech has declared an interim dividend of Rs 12 per equity share for the financial year 2023-24.
The record date for the same is fixed as October 20 and the
