Defense PSU Mishra Dhatu Nigam shares surge 6% ahead of record date for interim dividend

Shares of Mishra Dhatu Nigam, a Miniratna defence public sector enterprise (PSE), surged nearly 6 percent in intra-day trading on Monday, March 24, ahead of its record date for determining shareholder eligibility for an interim dividend of ₹0.75 per share. With the record date and ex-dividend date set for March 25, the stock will trade ex-dividend from Tuesday onward.

Interim Dividend Announcement:

The board of Mishra Dhatu Nigam approved an interim dividend of ₹0.75 per share, representing 7.5 percent of the face value of ₹10 per share, for the financial year 2024-25. The company disclosed the decision in a regulatory filing on March 19.

“This is to inform you that the Board of Directors of the Company, at its meeting held today, has approved the declaration of Interim Dividend of ₹0.75 per equity share (7.50 percent) of ₹10 each for the financial year 2024-25,” the company stated.

Initially, the board meeting was scheduled for March 20, but the company advanced it by a day, holding it on March 19 instead.

Dividend History:

Mishra Dhatu Nigam has a consistent track record of paying dividends. The company had previously declared an interim dividend of ₹1.41 per share on March 22, 2024, a final dividend of ₹1.67 per share on September 22, 2023, an interim dividend of ₹1.68 per share on March 23, 2023, and a final dividend of ₹1.54 per share on September 21, 2022.

Stock Price Performance:

On Monday, Mishra Dhatu Nigam's stock rose as much as 5.9 percent to hit an intra-day high of ₹303.90. Despite the recent uptrend, the stock remains 44 percent below its all-time high of ₹541, recorded in July 2024. It had hit its 52-week low of ₹226.60 earlier this month.

Over the past year, the PSU stock has shed 23 percent. However, it has rebounded sharply in March, gaining over 23 percent after three consecutive months of losses. The stock had fallen by 26 percent in February and approximately 3 percent in both January and December.

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