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Dividend Paying Stocks In May 2023

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Published Date: 28 Apr 2023Updated Date: 12 Sep 20236 mins readBy MOFSL
Dividend Paying Stocks In May 2023

An Overview

Long-term investing can appear to be an exhausting endeavour. After all, the world is constantly changing. The world has been slammed by one of the worst pandemics in modern history, an unparalleled inflation crisis and supply chain, and the Russia-Ukraine war in the last three years. The year 2023 then began with the Adani stock selloff and a banking crisis in the United States caused by the fall of Silicon Valley Bank (SVB). So, what should an investor do?

They may begin by concentrating on companies with a long track record of reliable profitability and cash flows, as well as a history of regular dividend payouts. Dividend payments can be a consistent source of income, even during volatile stock market downturns. If you want to beat the market volatility by investing in dividend stocks, here are the dividend-paying stocks in May to look out for.

Dividend Paying Stocks In May 2023

  • Stovec Industries

The board of directors of the firm has declared a final dividend of Rs 47 per share for the fiscal year 2023. The record date for this is May 3, 2023. For the last five years, the company has paid out dividends consistently. The average dividend payout ratio over the last five years is 42.3%. Dividend yields have averaged 1.9% during the last five years. Stovec Industries develops and manufactures consumables for the graphic printing, textile and sugar industries. It manufactures textile rotary screens, textile rotary printing machines, anilox and graphic printing screens, textile printing chemicals, digital ink, and sugar screens.

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  • Castrol India 

The firm has declared a final dividend of Rs 3.5 per share for the calendar year 2023, in addition to the interim dividend of Rs 3 declared in August 2022. This followed a flat increase in net profit to Rs 1.9 billion in the December 2022 quarter. The record date for the same is set for May 4, 2023. The entire dividend declared for the year, including the final dividend, is Rs 6.5 per share. The total dividend of Rs 6.5 per share for the calendar year 2023 comes in a dividend yield of more than 6% at the current price. Castrol India has been a reliable dividend payer. The average dividend payout ratio over the last five years is 74.7%. Dividend yields have averaged 4.3% during the last five years. The firm is a major lubricant maker in India. Its primary activity is the manufacture and marketing of industrial and automotive lubricants, as well as related services.

  • CRISIL

In addition to the previous three interim dividends and a final dividend, the firm has issued an interim dividend of Rs 7 per share for the fiscal year 2023. CRISIL has issued dividends of Rs 55 per share during the last 12 months. The corporation has declared 72 dividends since 2001. The five-year average dividend payout ratio is 65.7%, with a 1.7% dividend yield. CRISIL is one of India's leading rating agencies. It also offers risk and research management services. The company's rating services include a broad range of debt instruments for over 8,000 businesses. It has a global presence, with the majority of its revenue coming from India, North America and Europe.

  • Elantas Beck India

The board of directors of the firm has declared a final dividend of Rs 5 per share for the fiscal year 2023. The record date has been set for 3 May 2023. The company has a strong dividend track record, having given dividends for the past six years. The average dividend payout ratio over the last five years is 5.9%. Dividend yields have averaged 0.1% during the last five years. Elantas Beck India is a subsidiary of the international chemical business Altana. Elantas Beck's India subsidiary produces a diverse variety of speciality chemicals for the construction and electrical insulation industries.

  • HDFC Bank

HDFC Bank's board of directors proposed a final dividend of Rs 19 per share for the fiscal year 2023. According to exchange data, this is the biggest dividend paid by the lender since its debut. The bank has established a recording deadline of May 16, 2023, to determine who is qualified to collect the dividend. HDFC Bank has a lengthy history of delivering reliable dividends, having declared 24 dividends since April 2001. The average dividend payout ratio over the last five years is 11.4%. Dividend yields have averaged 0.6% during the last five years. HDFC Bank is India's largest bank in terms of market capitalization and the largest private-sector bank in terms of assets. With a brand worth US$ 20.2 billion, it is one of India's most valuable brands. It is also one of the rare corporations that are listed on foreign stock exchanges.

  • Ramkrishna Forgings

Ramkrishna Forgings has declared an interim dividend of Rs 0.5 per share for the fiscal year 2023. Since September 2005, Ramkrishna Forgings Ltd. has issued 20 dividends. The average dividend payout ratio over the last five years is 1.8%. Dividend yields have averaged 0.1% during the last five years. The firm provides industrial equipment for wagons and railway coaches. It is a trusted brand among OEMs in India, including Ashok Leyland, Tata Motors and Daimler. It is a major producer of Mack Trucks, Volvo, Ford and Iveco in foreign markets.

Wrapping Up

Soaring inflation and rising interest rates have turned the market upside down in the last year, with investors abandoning high-flying stocks in favor of undervalued dividend-payers that offer stability. Firms that offer dividends to investors often have a track record of good profits. This is why dividend-paying equities have been demonstrated to have higher long-term returns than non-dividend-paying stocks. Before investing in dividend stocks, you should research the company's dividend payment history as well as its intrinsic worth.

 

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Disclaimer: The stocks, companies, or financial instruments mentioned in this blog are for informational purposes only and should not be considered as investment recommendations. It is advised to consult with your financial advisor before making any investment decisions. Investment in securities markets are subject to market risks, read all the related documents carefully before investing. Investors are strongly encouraged to carefully read the risk disclosure documents prior to participating in market-related investments or trading activities. Due to the volatile nature of financial markets, no guarantees can be made regarding investment returns. Motilal Oswal Financial Services Ltd. does not offer any assured returns on market-linked securities. Please note that past performance of stocks or indices is not indicative of future results.
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