Tech Mahindra to Deliberate on Interim Dividend for FY24 on October 25

Tech Mahindra, a renowned multinational information technology services and consulting company, is set to discuss an interim dividend for the financial year 2023-24. The company's board will convene on October 24 and 25 to contemplate this financial decision.

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Tech Mahindra, a renowned multinational information technology services and consulting company, is set to discuss an interim dividend for the financial year 2023-24. The company's board will convene on October 24 and 25 to contemplate this financial decision.

On October 19, Tech Mahindra's shares will be under the spotlight as they prepare to reveal their plans for distributing an interim dividend. The board meeting is scheduled for October 25, where they will discuss and potentially approve this financial proposal.

This news comes as no surprise, as Tech Mahindra has been actively involved in the payment of dividends. In fact, the company has a track record of declaring dividends since March 21, 2007, totalling an impressive 25 dividends in their history.

The previous year has been favourable for investors in Tech Mahindra. The company has declared a significant equity dividend of ₹50 per share. With the current share price standing at ₹1172.15, this translates to a notable dividend yield of 4.27%.

Despite these positive figures, Tech Mahindra did face some challenges during the June quarter. They reported a 38% year-on-year decline in net profit, with figures plummeting to Rs 692.5 crore. This decline did impact their stock performance, with Tech Mahindra shares falling by 1.52% to ₹1,169 on Thursday.

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However, when we look at the bigger picture, Tech Mahindra's stock has provided investors with a commendable return of 12.23% over the past 12 months, slightly edging out the Nifty50's 12% returns during the same period.

Moreover, Tech Mahindra's stock currently trades at a discounted rate of 11% from its 52-week high, which was ₹1,320.00, achieved in September this year. This discount might attract more investors looking for an opportune entry point.

Investors should keep in mind that Tech Mahindra's stock has exhibited high volatility in the past year, with a 1-year beta of 1.1, as per data from Trendlyne. This may be a factor influencing investment decisions in the coming days.

In summary, Tech Mahindra's impending board meeting to discuss an interim dividend for FY24 is generating substantial interest among investors as they eagerly await the outcome of this financial decision.