HDFC, HDFC Bank shares trade ex-dividend today; stock prices tank up to 2%

HDFC Bank and HDFC Ltd. turn ex-dividend on Tuesday as the Nifty 50 heavyweights are to pay dividends of Rs 19 per share and Rs 44 per share respectively.

hdfc bank
HDFC Bank paid a dividend of Rs 15.5 in the fiscal year 2021-22.

Two Nifty 50 heavyweights HDFC and HDFC Bank are to trade ex-dividend today, 16 May onwards. HDFC Bank’s board of directors have recommended a final dividend of 1900% at Rs 19 per share with face value of Re 1. Mortgage lender HDFC announced an interim dividend of 2200% at Rs 44 per equity share with a face value of Rs 2.

HDFC Bank’s dividend is higher than the dividend of Rs 15.5 per share paid out the last financial year, making this the largest dividend paid out by the lender. The record date for both the stocks is today, 16 May, wherein the lenders will determine which shareholders are currently eligible to receive dividends.

HDFC, HDFC Bank Share price

On the NSE, the share price of HDFC Bank fell 1.3% in trade on Tuesday morning, to Rs 1,653. The private lender’s stock price has gained almost 3% year-to-date. The share price of HDFC on the other hand fell 1.9% to Rs 2,731.8. The scrip has zoomed 5% year-to-date, while the benchmark index NSE Nifty 50 has only clocked in gains of 1.1% during the same period.

HDFC Q4FY23 earnings

HDFC  announced its net profit for the fourth quarter at Rs 7,623.58 crore, up 18% from Rs  6,458.51 crore in the corresponding quarter last year.

HDFC Bank Q4FY23 earnings

HDFC Bank reported healthy growth in its standalone Q4FY23 net profit at Rs 12,047.5 crore, up 20% on-year. For the full year, the standalone net profit stood at Rs 44,108.7 crore (up 19.3%) and the consolidated net profit was at Rs 45,997.1 crore.

HDFC: Stock calls

ICICIdirect issued a buy call on HDFC on 9 May, with a target price of Rs 3,200 per share. “HDFC Ltd’s share price has grown ~1.5x in the past five years. Healthy demand outlook coupled with strong market positioning and fundamental bodes well. Merger with bank is seen providing further opportunity,” said the report, adding, “We maintain our multiple at ~1.9x FY25E core ABV and Rs 1442 (15% discount) for subsidiaries and revise our TP from Rs 3150 to Rs 3200.”

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First published on: 16-05-2023 at 10:06 IST