Oracle Financial to HPCL: Top five mid-cap stocks with high dividend yield
Upstox
3 min read • Updated: May 7, 2024, 3:00 PM
Summary
Unveiling the dividend champions among Nifty midcap stocks for FY24, this report highlights top performers offering lucrative returns to investors. From Oracle Financial Software Services Ltd's impressive 3% dividend yield to Hindustan Petroleum Corp Ltd's robust 3% payout, these companies demonstrate resilience and generosity in dividend distribution.
This earnings season all eyes are on the declaration of dividends by companies across sectors. While many leading firms among NIFTY 50 constituents have declared attractive dividends for FY24, the investors holding midcap stocks have not been disappointed as well.
Several NIFTY midcap stocks have figured among top dividend-paying shares that are tracked by the NIFTY Dividend Opportunities 50 Index. The index comprises shares that have declared dividend consistently and rank higher in terms of dividend yield.
Dividend yield, a financial ratio, shows how much a company has paid in dividends annually compared to its stock price.
On the basis of dividend yield, these five stocks are the top dividend-paying shares among Nifty midcap shares in FY 2023-24 so far.
Oracle Financial Software Services Ltd (3%)
Financial and insurance technology services provider Oracle Financial Software Services Ltd (OFSS) declared a bumper dividend of ₹240 per share for the financial year 2023-24. The company turned ex-dividend on Tuesday, May 7, which was the record date for dividend payout. The dividend yield stood at 3% on the basis of its previous closing price of ₹7,860.50 per share on the NSE on Monday.
OFSS shares have jumped more than 102% in the past year.
HPCL (3%)
Hindustan Petroleum Corp Ltd declared an interim dividend of ₹15 per share in February 2024 for FY24. The stock is not part of the Nifty Dividend Opportunities 50 index, but ranked higher among midcap stocks in terms of dividend yield of 3%. The stock price was ₹513.8 per share at Monday’s close.
The PSU stock has gained over 103% in the past one year.
OIL Ltd (2%)
State-owned Oil producer and refiner Oil India Ltd has declared an interim dividend of ₹12 per share for FY 2023-24, so far. The PSU announced a dividend of ₹8.5 per share in March 2024 and ₹3.5 per share in November 2023. The company is yet to announce its financial results for 2023-24. The dividend yield is 2% against its share price of ₹633.45.
Also read: Top five NIFTY50 stocks with high dividend yield
OIL shares have rallied more than 146% in the past year.
Indian Bank (2%)
The PSU lender Indian Bank has declared a dividend of ₹12 per share for FY24. The bank has fixed the record date June 7, 2024, for dividend payment. The bank last year had announced a dividend of ₹8.6 per share. The dividend yield is 2% against the share price of ₹531.8 per share at Monday’s close on the NSE.
Indian Bank shares have risen 62% in the past year.
Petronet LNG and NMDC (2%)
Two PSU stocks – Petronet LNG and NMDC— are tied in terms of dividend yield at fifth place. Petronet LNG declared a dividend of ₹7 per share for 2023-24. NMDC has declared a dividend of ₹5.75 per share for 2023-24.
Petronet LNG Ltd shares have gained over 32% in the last one year while NMDC Ltd stock price has gone up more than 141% during the same period.
Among these top 5 dividend paying midcap companies, Oracle Financial Services and Indian Bank have already announced their Q4 results while HPCL is scheduled to release its earnings report on May 9. Oil India, Petronet LNG and NMDC Ltd are yet to release their results for the March quarter and full financial year 2023-2024. With the Q4 earnings reports, the investors are looking forward to the declaration of final dividend for FY24.