Shares paying dividends are options that give investors from the company’s profits every year. This income is based on the upheaval of the market but on the strong position of the company. So let’s know, there are four companies that fill the pockets of investors through dividends.
Coal India: Coal India is a Maharatna CPSE (Central Public Sector Enterprise), which is considered to be the largest coal mining company in the country. The company produces more than 70 percent of India’s total coal supply and controls 48 percent of the country’s total coal reserves.
In the last 5 years, the company has registered an 8 percent topline CAGR and a net profit of 16 percent CAGR. Returns on ROE ie equity are 47 percent. Coal India pays regular dividends to its investors and the current dividend yield is 6.89 percent. The company’s balance sheet is strong and its ability to pay a dividend will be longer.
Indian Oil Corporation: IOCL is India’s largest oil refining and marketing company. The total capacity of 11 refineries is 80.8 million metric tonnes per year, accounts for about 31 percent of the country’s refining sector.
The company also has the largest pipeline network, spread over 20,000 km. This strong network reduces production costs and increases margins. The company has more than 40,000 petrol pumps, 13000 LPG distributors and 6000 aviation fuel stations. The company has registered a 9 percent topline CAGR and 23 percent CAGR in the last 5 years. However, the roe has been slightly less, ie 13 percent.
Currently the dividend yield of the company is 1.95 percent, which is less than normal. The main reason for this has not been paid by the government in the financial year 2025 and the company’s profit has been slightly reduced. However, when subsidies begin to receive subsidies and cash flow from new projects (after the financial year 26-financial year 27), the dividend is sure to increase.
Castrol India: Castrol India is a company that produces automotive and industrial lubricants. Castrol India plays a leading role in the field of automotive and industrial lubricants in India.
The wheels segment contains lubricants such as passenger cars, bikes and trucks like Castrol Age, Magnetech and CRB Turbomax+. In addition, the company offers special technical lubricants for industries such as wings segment marine, steel, mining, aerospace, cement and railways.
Castrol has achieved a topped CAGR of 7% and CAGR of 2% in the last 5 years. Although profit growth is slow, the company’s roe has been 44% and secondly, there is no debt on the company. The company has shared an average of 70% of its income in the last 10 years. Currently, the dividend yield is 5.85%. The company is now entering a new and fast -growing market, such as data center cooling solutions, where good growth is expected in the next 10 years.
Eicher Motors Limited: Eicher Motors Limited is a leading company in the automobile business, mainly focusing on the production of motorcycle and commercial vehicles. The company is known for its Famous Royal Enfield brand and its presence in many international markets, including India, is strong.
The company’s revenue increased by 59 percent between FY 2022 and FY 2024. The main reason behind this growth is the increase in motorcycle sales by 52% and the average price of each motorcycle is 5%, which is Rs. From 1,68,081 to Rs. 1,76,152.
Now if we talk about the company’s dividend, Eicher Motors dividend its shareholders Rs 51 and Rs 70 per share in August 2024. Previously, in 2023, the company shared a dividend of Rs 37 per share. In the year 2022 and 2021, Eicher Motors dividend its investors at Rs 21 and Rs 17 per share respectively.
Companies like Coal India, IOCL, Eicher Motors and Castrol India have been doing strong for a long time and provide stable income to investors through dividends. The special thing about these companies is that they will be strong in the case of making and sharing not only in the coming years but in the coming years.
Disclaimer: TV9 Gujarati does not advise investing in any stock, mutual fund, IPO. Here is only information about the stock. Be sure to consult your financial adviser before investing.
IPO means initial public offer. When any company declares its shares for the general public, it is called the IPO, the first public offer. Click here to read such news of IPO ..
. Source
