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  • Nov 11, 2022 - 3 Dividend Stocks to Watch Out for in December 2022

3 Dividend Stocks to Watch Out for in December 2022

Nov 11, 2022

3 Dividend Stocks to Watch Out for in December 2022

The name of the game when it comes to investing in share markets is compounding. That's why many investors like dividend stocks because they offer two opportunities for compounding.

First, you can collect your dividends and reinvest them to fuel your portfolio's growth. Second, every year, shareholders receive an extra portion of profit from the business operations.

Dividend stocks are arguably one of the best ways to invest.

In fact, some people argue that investing in dividend stocks could be even more profitable than investing in mutual funds because of the ability to reinvest dividends into other securities.

Even the father of value investing Benjamin Graham agrees when he says,

  • The true investor will do better if he forgets about the stock market and pays attention to his dividend returns and to the operation results of his companies.

If you are also one of those who love dividend stocks, check out the three Indian companies that will pay a dividend in December 2022.

#1 Page Industries

Page Industries is an Indian manufacturer and retailer of innerwear, loungewear, and socks.

It is the exclusive licensee of Jockey International in India, Sri Lanka, Nepal, Bangladesh, the United Arab Emirates, Oman, and Qatar. In 2011, it licensed Speedo swimwear from Pentland Group for India and Sri Lanka.

The company was founded in 1994 by Sunder Genomal and his brothers Nari and Ramesh. Together they hold a 54% stake in it.

For the financial year ending March 2023, Page Industries has declared an interim dividend of Rs 70 per share.

The record date for the dividend is 18 November 2022 and it will be paid on or before 9 December 2022.

Note that Page Industries is a consistent dividend payer, having paid dividends since 2004.

Over the last 5 years, it has averaged a dividend per share of Rs 244.

The end-of-year dividend yield of the company is 0.9%.

The dividend payout ratio for the year ended March 2022 was 76.9%. The 5-year average stands at 67.9%.

Page Industries Dividend History

Year End Mar-18 Mar-19 Mar-20 Mar-21 Mar-22
Dividend per share (Adj.) (Rs) 96 344 161 250 370
Dividend payout ratio (%) 30.9 97.4 52.3 81.9 76.9
Dividend yield (%) 0.4 1.4 1 0.8 0.9
Data Source: Ace Equity

To know more, check out Page Industries' factsheet and latest quarterly results.

#2 Coal India

Everyone looks at Coal India if they are primarily looking for dividend stocks...that's the reputation the state owned company has built.

Coal India (CIL) is an Indian central public sector undertaking (PSU) under the ownership of the Ministry of Coal, Government of India. It is headquartered in Kolkata.

It is the largest government-owned-coal-producer in the world. The PSU contributes around 82% to the total coal production in India.

For the financial year ending March 2023, Coal India has declared an interim dividend of Rs 15 per share.

The record date for the dividend is 16 November 2022 and the payment date is 6 December 2022.

Over the last 5 years, the company has averaged a dividend of 149% and the dividend per share has averaged Rs 15.

Its end-of-year dividend yield is 9.3%.

The dividend payout ratio for the year was 60.3%. The 5-year average stands at 74.8%.

Coal India Dividend History

Year End Mar-18 Mar-19 Mar-20 Mar-21 Mar-22
Dividend per share (Adj.) (Rs) 16.6 13.1 12 16 17
Dividend payout ratio (%) 145.5 46.2 44.3 77.6 60.3
Dividend yield (%) 5.8 5.5 8.6 12.3 9.3
Data Source: Ace Equity

To know more, check out Coal India's factsheet and latest quarterly results.

Meanwhile, we highly recommend you to check out Rahul Shah's detailed editorial on Coal India. It explains why the bluechip stock could offer great returns in 2023.

#3 Nicco Parks and Resorts

The company built Eastern India's first theme-based amusement park.

Nicco Parks and Resorts was incorporated on 17 March 1989, as a joint sector company with Nicco Corporation and the Government of West Bengal.

Set up with technical advice from Blackpool Leisure and Amusement Consultancy Ltd, UK, the sprawling 40-acre park in Kolkata was inaugurated on 13 October 1991.

It is the first amusement park in India to have achieved the distinction of obtaining ISO 9001 quality management certification from a renowned European certifying authority. Nicco Park is managed professionally.

For the year ended March 2023, Nicco Parks and Resorts has declared an interim dividend of Rs 0.4 per share.

The record date for the dividend is 14 November 2022 and payment is likely to be 02 December 2022.

Over the last 5 years, the company has averaged a dividend of 31%. The 5-year average stands at 19.0%.

Nicco Parks and Resorts Dividend History

Year End Mar-18 Mar-19 Mar-20 Mar-21 Mar-22
Dividend per share (Adj.) (Rs) 0.15 0.8 0.6 0 0
Dividend payout ratio (%) 11.1 45.9 40.7 0 0
Dividend yield (%) 0.4 2.8 1.8 0 0
Data Source: Ace Equity

To know more, check out Nicco Park and Resorts factsheet and latest quarterly results.

Investment Takeaway

You can shortlist dividend paying stocks in just a few seconds using Equitymaster's powerful stock screener.

Here are the dividend screens that should help you get started in the world of dividend investing.

At the end of the day, there are many reasons to consider companies that offer a nice dividend payout. But as with any investment, you should look at stocks with a critical eye before taking the plunge.

Even if it comes to high dividend stocks, remember to do your homework before buying in.

An investor should always take a look at the fundamentals of the company. Finding fundamentally strong stocks that pays a good dividend can be very profitable.

Now Before You Go, This is Something You Need to Know...

Equitymaster’s co-head of research, Tanushree Banerjee, believes that one of the fastest growing sectors this decade will be defence.

In fact, within defence there are segments with 33x growth potential by 2030. Yes, it’s a massive opportunity.

Tanushree has already identified 3 next-generation defence stocks to ride this mega opportunity.

Now, these are not ordinary defence stocks.

Very few people know about the real potential of these companies.

Because these companies are working silently on developing next-generation warfare technologies.

Our research says that these 3 defence stocks could potentially provide you some of the biggest gains of your lifetime.
* 2 out of these 3 stocks have already run up. Act fast or you might completely miss out on this big opportunity.

You Can Get Full Details 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...

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