4 Stocks to Watch Out for Upcoming Dividends in December 2023

Dividend stocks hold a universal appeal, capturing the interest of both everyday investors and billionaires.

Take Warren Buffett for example. He's a strong advocate for dividend stocks and consistently incorporates a wide range of these equities into his investment portfolio each quarter.

Dividend stocks are always enticing because of the dividend yield, which is the percentage of annual dividends compared to a stock's price.

Dividends have been a significant part of investors' gains over the last 50 years.

This suggests that focusing on companies with a history of steadily increasing dividends might be a reliable strategy across various market conditions, regardless of changes in interest rates.

Here are 4 stocks to watch out for upcoming dividends in December 2023.

#1 Hindustan Zinc

First on the list is Hindustan Zinc.

The company's board of directors, on 4 December 2023, declared an interim dividend of Rs 6 per share for the financial year 2023-24.

The company has fixed 14 December 2023 as the record date for payment of this interim dividend.

Before this, in July 2023, the company had declared an interim dividend of Rs 7 per share.

Since 2013, Hindustan Zinc has paid more in dividends alone than Bajaj Finance, Asian Paints, and Titan Company have made in profits combined!

The company has given approximately Rs 700 bn in dividends over the past ten years.

Further, the average 5-year dividend yield for Hindustan Zinc is a whopping 10.6%. Meanwhile, the average dividend payout ratio stands at 165.1%.

The company stand among the stocks with high dividend yields in FY23.

One of the most well-liked companies for investors searching for consistent dividend payments is Hindustan Zinc. It is the sole and top producer of zinc, lead, and silver in India.

The company has a mined metal capacity of around 1.2 million tonnes per annum, and it is aggressively expanding its mining capacities with six ongoing major mining projects.

Hindustan Zinc, the world's second-biggest zinc producer, operates the world's third-largest open-pit mine and the world's largest zinc mine in Rampura Agucha, Rajasthan.

Hindustan Zinc's Dividend History (2019-23)

	19-Mar	20-Mar	21-Mar	22-Mar	23-Mar
Dividend per share (Adj.) * (Rs)	20	16.5	21.3	18	75.5
Dividend payout ratio (%)	106.2	102.5	112.8	79	303.5
Dividend Yield (%)	6.9	8	8.8	5.3	24.1

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

For more details, see the Hindustan Zinc company fact sheet and quarterly results.

#2 Tembo Global Industries

Second on the list is Tembo Global Industries.

The company's board of directors, on 30 November 2023, declared an interim dividend of Rs 1.2 per share for the financial year 2023-24.

The company has fixed 15 December 2023 as the record date for payment of this interim dividend.

The company has declared three dividends since December 2020.

The five-year average dividend payout ratio stands at 24.9%. The dividend yield over the past five years has averaged 0.1%.

Tembo Global Industries manufactures and distributes steel products. The company offers pipe hangers, HVAC systems, nuts, bolts, washers, dielectric fittings, cable trays, conduits, and earthing accessories.

Tembo Global Industries serves customers worldwide.

Tembo Global's Dividend History (2019-23)

	19-Mar	20-Mar	21-Mar	22-Mar	23-Mar
Dividend per share (Adj.) * (Rs)	0.2	0.7	0.9	1.1	0
Dividend payout ratio (%)	12.1	31.5	42.8	38.2	0
Dividend Yield (%)	0	0	0	0.5	0

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

For more details, see the Tembo Global company fact sheet and quarterly results.

#3 Zeal Global Services

Third on the list is Zeal Global Services.

For the financial year 2024, Zeal Global Services announced an interim dividend of Rs 1 per share.

The record date for the same is set as 22 December 2023.

Since its initial public offering (IPO) on 9 August 2023, this is the company's first declared dividend.

Zeal Global Services is engaged in the operations of offering logistics solutions in the Air Cargo Industry. Zeal Global Services is engaged in offering logistics solutions in the air cargo Industry.

The company broadly provides its offering in two verticals cargo-carrier and passenger carrier.

Zeal Global Services' Dividend History (2019-23)

	19-Mar	20-Mar	21-Mar	22-Mar	23-Mar
Dividend per share (Adj.) * (Rs)	-	0.5	0.2	0	0
Dividend payout ratio (%)	-	49.4	12.4	0	0
Dividend Yield (%)	-	0	0	0	0

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

For more details, see the Zeal Global Services company fact sheet and quarterly results.

#4 Easy Trip Planners

Last on the list is Easy Trip Planners.

The board of this smallcap company approved an interim dividend at the rate of 10% on equity share capital of the company, i.e., Rs 0.1 per equity share of Rs 1 each for the financial year 2023-24.

The record date for the same is 19 December 2023.

The company has remained a consistent dividend payer. Since 2021, Easy Trip Planner as declared 2 dividends.

The five-year average dividend payout ratio stands at 5.6%. The dividend yield over the past five years has averaged 0.1%.

EaseMyTrip, listed under the name Easy Trip Planner is a leading travel agency in India.

It is engaged in the business of providing reservation and booking services related to travel and tourism.

Its segments include air passage, hotel packages and other services. Its air passage section includes call centres, an internet and mobile-based platform.

Easy Trip Planners Dividend History (2019-23)

	19-Mar	20-Mar	21-Mar	22-Mar	23-Mar
Dividend per share (Adj.) * (Rs)	0	0	0.1	0.1	0
Dividend payout ratio (%)	0	0	17.8	10.3	0
Dividend Yield (%)	0	0	0.5	0.1	0

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

For more, see the Easy Trip Planners 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 still experience declines in value during severe market downturns or company-specific challenges.

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

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...