Today, three companies—Canara Bank, Shankara Building Products, and Tata Chemicals—have announced that their stocks have turned ex-dividend. This means that if you buy their shares today or later, you won’t be eligible to receive the dividends that these companies have declared.
Let’s start with Canara Bank. They recently approved a dividend of Rs 12 per share, which is a substantial 120% on the face value of Rs 10 per share for the financial year 2022-23. To qualify for this dividend, investors must have owned Canara Bank shares on or before June 14, as that is the record date. When a company goes ex-dividend, its stock no longer includes the value of the upcoming dividend payment. In the past year, Canara Bank has given out a total equity dividend of Rs 6.50 per share, resulting in a dividend yield of 2.06%. On Tuesday, the Bank’s shares closed at Rs 315 on the National Stock Exchange (NSE), showing a year-to-date loss of 6.3%.
Moving on to Shankara Building Products, they have declared a dividend of Rs 2.5 per equity share for the fiscal year ending in March 2023. Shareholders can expect to receive this dividend within the next 30 days after the declaration. In the past year, Shankara Building Products has paid out a dividend of Re 1 per share, giving a dividend yield of just 0.13%. The company is a well-known retailer of home improvement and building products in India, operating under the brand name ‘Shankara Buildpro’ with over 90 stores nationwide. So far this year, their stock has provided investors with a 13% return.
Lastly, Tata Chemicals has announced a dividend of Rs 17.50 per share, which amounts to a generous 175% for the financial year 2022-23. However, this dividend is subject to approval by the shareholders at the Annual General Meeting (AGM). Tata Chemicals’ stock has seen a 6% rise this year, and over the past 12 months, it has yielded a dividend of 1.25%.
These ex-dividend announcements serve as important information for investors, as they indicate which stocks will no longer include the value of future dividends.
