Big Dividend Payouts Around the Corner. Watch Out for These 5 Stocks

A month ago, I visited my cousin's place. His little boy was prancing all around the house. The kid was filled with excitement, even on a school night!

I asked his parents...how come he is awake at this hour and why the excitement? Doesn't he have school tomorrow morning?

Before his parents could say anything, the kid replied,

"My Christmas holidays just started today! So no school for 15 days! Vacations mode is on!"

All kids look forward to different festivals for holidays. They are more excited at the end of an academic year because they can finally get a long vacation.

Just like how the kids look forward to the end of the academic year, stock market investors look forward to the end of a quarter.

When a quarter ends, companies declare their quarterly results and corporate actions. One lucrative activity they closely track during quarterly results season is the interim dividend declaration by companies.

In this article, we take a look at five companies that will reward shareholders with big dividends very soon.

These are five different stocks apart from the ones we highlighted in this editorial: 5 stocks declaring dividend in February 2023.

#1 LTIMindtree

First on this list is LTIMindtree.

LTIMindtree is a global technology consulting and digital solutions company.

It's in the business of analysing, designing, converting and coding IT-enabled services.

For the quarter ended 31 December 2022, LTIMindtree has declared an interim dividend of 2,000% amounting to Rs 20 per share. The company has fixed 31 January 2023 as the record date.

Since 2016, LtiMindtree has paid 14 dividends in total.

Over the last 5 years, the company has paid an average dividend of 3,450% amounting to Rs 34 per share.

Its end of year dividend yield was 0.89%. The company's dividend payout ratio for the financial year 2021-22 stood at 41.9%. The 5-year average dividend payout stands at 35.1%.

LTI Mindtree Dividend History (2018-2022)

Particulars	2018	2019	2020	2021	2022
Dividend per share (Rs)	12.5	16.4	16.4	23.6	32.5
Dividend payout ratio (%)	33.2	32.1	32.1	36.1	41.9
Dividend Yield (%)	1.6	1.7	2	1	0.9

Source: Equitymaster

To know more about the company, check out its factsheet and latest quarterly results.

#2 Siemens

Next on the list in Siemens.

Siemens is a pioneer in infrastructure facilities, digitalisation, and electrification in India. It is one of the world's largest producers of energy-efficient and resource-saving technologies.

Siemens follows the current year format and the company's financial year ends on 31 December 2022.

For the financial year 2022, the company has declared a final dividend of 500% amounting to Rs 10 per share. The company has fixed 01 February 2023 as the record date.

Since year 2000, Siemens has paid 30 dividends in total.

Over the last 5 years, the company has paid an average dividend of 390% amounting to Rs 7 per share.

The company's end of year dividend yield was 0.36%. Its dividend payout ratio for the financial year 2022 was 28.2%. The 5-year average dividend payout stands at 27.7%.

Siemens Dividend History (2018-2022)

Particulars	2018	2019	2020	2021	2022
Dividend per share (Rs)	7	7	7	8	10
Dividend payout ratio (%)	27.7	22.7	32.4	27.7	28.2
Dividend Yield (%)	0.7	0.5	0.6	0.4	0.4

Source: Equitymaster

To know more about the company, check out its factsheet and latest quarterly results.

#3 Engineers India

Engineers India is an Indian central public sector undertaking under the ownership of the Ministry of Petroleum and Natural Gas, government of India.

It is under the ownership of the Ministry of Petroleum and Natural Gas, government of India. It was set up in 1965 with the mandate of providing indigenous technology solutions across hydrocarbon projects.

Over the years, it has also diversified into synergic sectors like non-ferrous metallurgy, infrastructure, water and wastewater management, and fertilisers.

For the quarter ended 31 December 2022, Engineers India has declared an interim dividend. The company has fixed 13 February 2023 as the record date.

Since 1999, Engineers India has paid 42 dividends in total.

Over the last 5 years, the company has paid an average dividend of 72% amounting to Rs 3 per share.

It's end of year dividend yield was 4.69%. It's dividend payout ratio for the financial year 2021-22 was 49.2%. The 5-year average dividend payout stands at 60.2%.

Engineers India Dividend History (2018-2022)

Particulars	2018	2019	2020	2021	2022
Dividend per share (Rs)	4.5	4.5	5.8	2	3
Dividend payout ratio (%)	65.9	67.8	75	43	49.2
Dividend Yield (%)	2.5	3.4	8.6	2.6	4.7

Source: Equitymaster

To know more about the company, check out its factsheet and latest quarterly results.

#4 RITES

RITES is a wholly owned subsidiary of the Indian railways, ministry of railways, government of India. It is an engineering consultancy corporation, specializing in the field of transport infrastructure.

For the quarter ended 31 December 2022, RITES has declared an interim dividend. The company has fixed 17 February 2023 as the record date.

Since 2018, RITES has paid 18 dividends in total.

Over the last 5 years, the company has paid an average dividend of 128% amounting to Rs 12 per share.

The company's end of year dividend yield was 6.5%. Its dividend payout ratio for the financial year 2021-22 was 75.9%. The 5-year average dividend payout stands at 58.8%.

RITES Dividend History (2018-2022)

Particulars	2018	2019	2020	2021	2022
Dividend per share (Rs)	4.6	10.6	16.7	13	17
Dividend payout ratio (%)	30.7	53	63.9	70.5	76
Dividend Yield (%)	0	4.9	6.5	5.4	6.5

Source: Equitymaster

To know more about the company, check out its factsheet and latest quarterly results.

#5 Saregama India

Established in 1902, Saregama India is one of the oldest music labels in the country. The company's business spans across music, films, web series, television serials, and retail.

It's also the largest recording and publishing company in India. It has a music library of over 142,000 songs. The company has also produced over 60 films and has over 6,000 hours of television serials.

For the quarter ended 31 December 2022, Saregama India has declared an interim dividend of 300% amounting to Rs 3 per share. The company has fixed 02 February 2023 as the record date.

Since 2013, Saregama India has paid 11 dividends in total.

Over the last 5 years, the company has paid an average dividend of 115% amounting to Rs 1 per share.

It's end of year dividend yield was 0.62%. It's dividend payout ratio for the financial year 2021-22 was 3.8%. The 5-year average dividend payout stands at 2.1%.

Saregama India Dividend History (2018-2022)

Particulars	2018	2019	2020	2021	2022
Dividend per share (Rs)	0.03	0.03	0.01	0.18	0.3
Dividend payout ratio (%)	1.8	1	0.6	3.1	3.8
Dividend Yield (%)	0.5	0.5	0.8	1.3	0.6

Source: Equitymaster

To know more about the company, check out its factsheet and latest quarterly results.

Investment Takeaway

Investors love dividend paying stocks because they offer a steady passive income.

The art of dividend investing is a must learn for every long term investors.

However, one should be careful while selecting dividend paying stocks. The father of investing Benjamin Graham says,

"The stockholder wants both income and appreciation, but in general the more he gets of one the less he realizes of the other."

An investor should clearly choose his investment goals before he makes any investment decision. Investing in fundamentally strong stocks should be the ultimate focus.

To know what's moving the Indian stock markets today, check out the most recent share market updates here.

Disclaimer: This article is for information purposes only. It is not a stock recommendation and should not be treated as such. Learn more about our recommendation services here...