Top 5 Stocks to Watch Out for Upcoming Dividends in September 2024

When new investors enter the stock market, they mainly aim to buy a share at a low price and sell it when the price goes higher to make profits. However, what if you do not have to sell the shares and companies pay you to hold their stocks?

That's the central idea behind dividends, which allow investors to make a steady return on their investments without selling them.

Dividend-paying companies distribute a portion of their profits to shareholders. This regular income stream can be a compelling alternative to the risk associated with growth stocks. While these stocks aim for substantial price appreciation, they don't guarantee returns.

Dividend stocks, on the other hand, provide a steady income while also offering the potential for capital gains as the stock price increases. As a result, they're a popular choice for many investors, especially those seeking a balance between income and growth.

For investors in search of dividend payouts, here are 5 stocks to watch out for dividends in September 2024.

#1 Gulf Oil Lubricants

First on the list is Gulf Oil Lubricants.

The board of Gulf Oil Lubricants at its meeting on 22 March 2024 declared a final dividend of Rs 20 per equity share (i.e. 1,000% on the face value of Rs 2 per equity share) for FY24.

The record date for the same is 5 September 2024.

During February 2024, the board declared and paid an interim dividend for FY24 of Rs 16 per equity share (i.e. 800 % on the face value of Rs 2 per equity share).

With this, the total dividend for the year stands at Rs 36 per equity share (i.e. 1,800 % on the face value of Rs 2 per equity share).

Gulf Oil Lubricants India has declared 18 dividends since 2014.

is the company is engaged in the business of manufacturing, marketing and trading of automotive and non-automotive lubricants. It is among the top three lubricant companies in India among private players.

Gulf Oil Lubricants Dividend History (2019-2023)

	19-Mar	20-Mar	21-Mar	22-Mar	23-Mar
Dividend per share (Adj.) * (Rs)	11.5	14	16	5.1	24.9
Dividend payout ratio (%)	NA	NA	NA	11.9	52.8
Dividend Yield (%)	NA	NA	NA	1.2	6.2

*Adjusted for bonus issues and stock splits
Source: Equitymaster

For more details, see the Gulf Oil Lubricants company fact sheet and quarterly results.

#2 AGI Greenpac

Next on the list is AGI Greenpac.

For the FY24 AGI Greenpac has declared an equity dividend of 300% amounting to Rs 6 per share.

At the current share price of Rs 848.9 this results in a dividend yield of 0.7%.

The record date for the same is 12 September 2024.

Since 1997, AGI Greenpac has paid 27 dividends.

The five-year average dividend payout ratio stands at 26.9%. The dividend yield over the past five years has averaged 1.7%.

AGI Greenpac, formerly known as HSIL, is the largest Indian sanitary ware manufacturer.

The company is in the business of manufacturing selling and trading building products, glass products, plastic packaging products, consumer products, and the retail business.

AGI Greenpac Dividend History (2019-2023)

	19-Mar	20-Mar	21-Mar	22-Mar	23-Mar
Dividend per share (Adj.) * (Rs)	3	3	4	5	5
Dividend payout ratio (%)	31	44.8	29.4	16.7	12.4
Dividend Yield (%)	1	1.8	3.3	1.8	0.8

*Adjusted for bonus issues and stock splits
Data Source: Equitymaster

For more details, see the AGI Greenpac company fact sheet and quarterly results.

#3 TV Today Network

Next on the list is TV Today Network.

For the year ending March 2024 TV Today Network has declared an equity dividend of 170% amounting to Rs 8.5 per share. At the current share price of Rs 264.5 this results in a dividend yield of 3.2%.

The record date for the same is 11 September 2024.

TV Today Network has declared 23 dividends since 2004. The company has a good dividend track report and has consistently declared dividends for the last 5 years.

The five-year average dividend payout ratio stands at 135.9%. The dividend yield over the past five years has averaged 11.6%.

TV Today Network is primarily engaged in broadcasting television news channels, radio stations, and newspaper publishing in India.

The company is a part of the India Today group and comprises four news channels - Aaj Tak, Headlines Today, Tez, and Dilli Aaj Tak.

TV Today Network Dividend History (2020-2024)

	19-Mar	20-Mar	21-Mar	22-Mar	23-Mar
Dividend per share (Adj.) * (Rs)	22.3	2.5	3	70	8.5
Dividend payout ratio (%)	95.3	11.3	9.9	473.3	90
Dividend Yield (%)	13.5	0.9	0.8	38.7	4

*Adjusted for bonus issues and stock splits
Data Source: Equitymaster

For more details, see the TV TODAY NETWORK company fact sheet and quarterly results.

#4 Ion Exchange (India)

Next on the list is Ion Exchange.

The board of Ion Exchange has approved a final equity dividend of 150% amounting to Rs 1.5 per share.

The record date for the same is 4 September 2024.

In the past 12 months, Ion Exchangehas declared an equity dividend amounting to Rs 1.3 per share. The company has a good dividend track report and has consistently declared dividends for the last 5 years.

The five-year average dividend payout ratio stands at 2.9%. The dividend yield over the past five years has averaged 0.6%.

Ion Exchange is a leader in the Indian water treatment Industry offers total water management solutions for industry, homes, and communities.

It is one of the very few companies in the world with a range of technologies, products, and services that cover the entire spectrum of water and wastewater treatment.

Ion Exchange has three decades of experience in the manufacture of ion exchange resins and the design and supply of treatment plants for water, process liquid, and wastewater.

Ion Exchange's Dividend History (2020-2024)

	19-Mar	20-Mar	21-Mar	22-Mar	23-Mar
Dividend per share (Adj.) * (Rs)	0.1	0.1	0.1	0.1	1.5
Dividend payout ratio (%)	0.9	1	0.9	0.9	10.9
Dividend Yield (%)	1	0.8	0.6	0.4	0.3

*Adjusted for bonus issues and stock splits
Data Source: Equitymaster

For more details, see the Ion Exchange company fact sheet and quarterly results.

#5 Triveni Engineering & Industries

Last on the list is Triveni Engineering & Industries.

The board of the company declared a final dividend of 125% i.e. Rs 1.25 per fully paid-up equity share of the face value of Re 1 each for FY24.

The company has fixed Friday, 6 September 2024 as the record date to ascertain the entitlement of members/beneficial owners to the said final dividend.

During the year, the company had paid an interim dividend of 225% i.e. Rs 2.3 per equity share of the face value of Re 1 each and a special dividend of 225% i.e. Rs 2.3 per equity share of the face value of Re 1 each.

The five-year dividend payout ratio of the company stands at 81.3%. The five-year average yield of the company is 1.5%.

Triveni Engineering & Industries is an Indian conglomerate with diversified businesses in sugar and engineering segments.

The company is engaged in sugar and alcohol, including ethanol production, power co-generation, power transmission, industrial gears and gearboxes and defence, water treatment solutions, and FMCG brands.

The company is one of the largest integrated sugar manufacturers in India. It produces fuel-grade ethanol.

Triveni Engineering's Dividend History

	19-Mar	20-Mar	21-Mar	22-Mar	23-Mar
Dividend per share (Adj.) * (Rs)	0.8	1.3	1.9	3.6	3.3
Dividend payout ratio (%)	8.3	8.1	14.4	18.5	4
Dividend Yield (%)	1.1	3	2.1	1	1.2

*Adjusted for bonus issues and stock splits
Data Source: Equitymaster

For more details, see the Triveni Engineering company fact sheet and quarterly results.

To conclude

Investing in stocks that pay special dividends can be appealing for several reasons. Special dividends provide an additional source of income for investors. If a company has a history of paying special dividends, it can be a way to boost overall dividend income.

They are often a sign of financial strength and profitability, as companies typically distribute special dividends when experiencing excess cash or extraordinary profits.

Positive news about a special dividend can lead to an increase in the stock price, reflecting investor confidence in the company's management.

However, it's crucial to consider the potential risks associated with investing in stocks with special dividends. Special dividends may not be sustainable and companies might struggle to maintain such payouts in the long term.

Additionally, stocks with special dividends may experience increased volatility around the ex-dividend date, impacting short-term price movements.

Thus, it's essential to conduct thorough research, assess the financial health of the company, and diversify your investments.

If you want to dig deeper, use Equitymaster's stock screener to check high dividend yield stocks and the best dividend stocks to buy.

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...