This textile stock announces 350% dividend, taking the yield to 3.53%

Gloster Ltd., a small cap company with a market valuation of Rs. 541.75, is engaged in the textile industry. The company's two manufacturing facilities are located at Bauria, P.O. Fort Gloster, District Howrah in the State of West Bengal. The company is involved in the manufacturing and exporting of all types of jute and jute allied products, woven and non-woven jute geotextiles, treated fabric-rot proof, fire retardant, jute products for interior decoration and packaging of industrial and agricultural goods.

In its submitted file to BSE, the company has mentioned that “To declare dividend on Equity Shares for the financial year 2021-2022. The Board recommends a dividend of 250% i.e. ₹25/- per equity share and Special Dividend “marking 100 years of Incorporation of the Company” of 100% i.e. ₹10/- per equity share for the financial year ended 31st March, 2022, making a total dividend of 350% i.e. ₹35/- per equity share of face value of ` 10/- each.”

“Pursuant to Section 91 of the Companies Act, 2013, the Register of Members and Share Transfer Books of the Company will remain closed from 2nd August, 2022 to 8th August, 2022 (both days inclusive) for the purpose of Annual General Meeting and payment of dividend declared at the meeting. The Record date fixed for the purpose of determining entitlement of the members to Dividend is 1st August, 2022,” the company has further added.

By considering the total dividend amount of ₹35 per share, the stock at the current market price of ₹990.10, is trading at a dividend yield of 3.53%. The shares of Gloster Ltd closed today at ₹990.10, down by 0.28% from its previous close. In the last 1 year, the stock has fallen 18.77% and on a YTD basis, the stock has dropped 7.83% so far in 2022. On the BSE, the stock had touched a 52-week-high of ₹1,367.80 on 20/07/2021 and a 52-week-low of ₹850.00 on 20/06/2022. Based on the current market price, the stock is trading higher than 20-day moving averages but lower than 5 days, 50 days, 100 days and 200-day moving averages.