4 Stocks to Watch Out for Upcoming Dividends in December 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 didn't have to sell your shares? What if companies paid you to hold onto their stocks? That's the central idea behind dividends.

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 4 stocks to watch out for dividends in December 2024.

#1 Indo US Bio-Tech

First on the list is Indo-US Bio-Tech.

On 21 November 2024, the Board of Directors of the company declared an interim dividend of Rs 0.25 per equity share of Rs 10 each fully paid up for the financial year 2024-25.

The record date for the said dividend is 3 December 2024. The company has declared 2 dividends since 2021.

Indo US Bio-Tech, established in 2004, is a prominent player in the agriculture seed industry, specialising in the production and processing of commercial and vegetable seeds.

The company's core activities include extensive crop research and development, breeding, seed production, processing, packaging, and marketing of hybrid and open-pollinated seed varieties.

The company serves domestic and international markets, exporting seeds to countries such as the USA, Palestine, Kuwait, Cameroon, Sri Lanka, and Mauritius.

For more details, see the Indo US Bio-Tech company fact sheet and quarterly results.

#2 Can Fin Homes

Next on the list is Can Fin Homes.

The company's board approved an interim dividend for FY25, though the dividend amount has not yet been disclosed. The record date for this dividend is set as 4 December 2024.

Over the past 12 months, Can Fin Homes has declared an equity dividend of Rs 6 per share. Since 2001, the company has declared 28 dividends, reflecting a strong history of rewarding shareholders.

Can Fin Homes Dividend History (2020-2024)

	Mar-20	Mar-21	Mar-22	Mar-23	Mar-24
Dividend per share (Adj.) * (Rs)	2	2	3	3.5	6
Dividend payout ratio (%)	7.1	5.8	8.5	7.5	10.6
Dividend Yield (%)	0.7	0.3	0.5	0.7	0.8

*Adjusted for bonus issues and stock splits
Source: Equitymaster

The five-year average dividend payout ratio stands at 7.9%, with an average dividend yield of 0.6% during the same period.

Can Fin Homes Limited is a leading housing finance company in India, established in 1987 under the sponsorship of Canara Bank.

The company focuses on providing affordable housing loans to individuals and families, primarily catering to salaried and self-employed professionals.

It operates through a strong network of branches across the country, targeting Tier-II and Tier-III cities to support the government's vision of "Housing for All."

For more details, see the Can Fin Homes company fact sheet and quarterly results.

#3 Phoenix Township

Next on the list is Phoenix Township.

The Board of Directors of the company declared an interim dividend of Rs 0.1 per equity share for the financial year 2024-25.

The record date for the said dividend is 6 December 2024. In the past 12 months, Phoenix Township has declared an equity dividend amounting to Rs 0.25 per share. The company did not pay any dividend for the year ended March 2024.

Phoenix Township is to a real estate or urban development project undertaken by Phoenix Mills Limited, one of India's leading retail-led mixed-use developers. Phoenix Mills specialises in creating high-quality integrated townships, residential projects, and commercial spaces.

Phoenix Township developments often feature a blend of luxury and convenience, offering residential apartments, retail outlets, office spaces, and recreational facilities within a single, well-planned community.

For more details, see the Phoenix Township company fact sheet and quarterly results.

#4 Bambino Agro Industries

Last on the list is Bambino Agro Industries.

For FY24, the company has announced a final dividend of Rs 1.6 per share, with 19 December 2024, set as the record date.

Since its first dividend declaration in December 2012, Bambino Agro Industries Ltd. has announced a total of 11 dividends.

Bambino Agro Industries Dividend History (2019-2023)

	Mar-19	Mar-20	Mar-21	Mar-22	Mar-23
Dividend per share (Adj.) * (Rs)	1.6	1.6	1.6	1.6	1.6
Dividend payout ratio (%)	26.1	15.6	15	14.6	14.1
Dividend Yield (%)	0.8	1.6	0.9	0.5	0.5

*Adjusted for bonus issues and stock splits
Source: Equitymaster

Over the past five years, the company has maintained an average dividend payout ratio of 17.1%, with an average dividend yield of 0.9%, reflecting its commitment to delivering shareholder value.

Bambino Agro Industries Limited is a well-known player in the Indian food processing industry, specialising in the production and distribution of a wide range of food products. Established in 1982, the company is part of the Bambino Group, credited with pioneering the vermicelli market in India.

For more details, see the Bambino Agro Industries company fact sheet and quarterly results.

To Conclude

Dividend paying stocks usually pay a dividend at a growing rate. This increases the amount of passive income every year.

Dividends also act as a defensive strategy during market downturns, as they exhibit more stability compared to non-dividend-paying stocks.

It's important to note that while dividend stocks can provide a level of defensiveness, they are not immune to market fluctuations. They can experience declines in value during market downturns or company-specific challenges.

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...