1,500 per cent dividend announced in this High ROE & High ROCE multibagger stock; do you own it?

The company reported excellent numbers in its quarterly results and annual results.  

On Friday, shares of Bajaj Finance Ltd zoomed 1.50 per cent to an intraday high of Rs 6,292 per share from its previous closing of Rs 6,058.80. The stock has a 52-week high of Rs 7,777 and a 52-week low of Rs 5,235.60. At the closing bell, the shares were trading in the green, up 1.31 per cent to Rs 6,280.40.  

Talking about the financials, BFL is a Large-Cap company and also a BSE Sensex Index stock. The company reported excellent numbers in its Quarterly Results and annual results.  

The total income rose by 31.68 per cent to Rs 11,363 crore in Q4FY23 over Q4FY22. The profit after tax for Q4FY23 increased by 25 per cent to Rs 2,837 crore from Rs 2,268 crore in Q4FY22. The net interest income for FY23 increased by 30 per cent to Rs 26,401 crore from Rs 20,301 crore in FY22. The Profit after tax for FY23 skyrocketed by 62 per cent to Rs 10,290 crore from Rs 6,350 crore in FY22.  

Additionally, the company declared a dividend of 1500 per cent or Rs 30 per equity share for a face value of Rs 2 per share as of the record date. The dividend will be credited/dispatched on or around July 28, 2023 or July 29, 2023. 

Bajaj Finance is mainly engaged in the business of lending. BFL has a diversified lending portfolio across retail, SME and commercial customers with a significant presence in urban and rural India. Shares of the company saw a spurt in volume by more than 2.63 times on BSE.   

The stock is up by 6.26 per cent in 5 days, up 12 per cent in 1 month, down 12 per cent in 6 months, down 5 per cent in 1 year and generated multibagger returns of over 173 per cent in 3 years. The stock has a PE of 34x, ROE of 22 per cent and ROCE of 24 per cent.   

Investors should keep an eye on this NBFC stock.