Nifty PSU Bank soared 28 per cent on YTD basis; find high dividend yield-paying PSU bank stocks here!

Karan Dsij
/ Categories: Trending, Mindshare
Nifty PSU Bank soared 28 per cent on YTD basis; find high dividend yield-paying PSU bank stocks here!

Valuations look enticing as most PSU banks trade below their book value. Banks are now reasonably capitalised and credit growth should accelerate.

After a slippery start to the week, the bulls are back into action as Nifty and Sensex climbed 0.51 per cent each. Nifty is hovering settled around 17,622 mark while Sensex closed above the 59,100 mark.   

The majority of the sectors were seen trading in green; however, the show-stopper of the day is Nifty PSU Bank. It jumped over 2 per cent on Monday while on a YTD basis, the index is up by a staggering 28.26 per cent.   

PSU banks are an attractive play on the growing Indian economy as these banks have strengthened their balance sheet by fully providing for stressed accounts. The focus on improving underwriting practices is reflected in controlled slippages. FY22 results demonstrate business strength, improved yield profile with healthy PCR, strong liability franchise, improved core operating profitability along with better asset quality matrix thereby, leading to an improved return ratio profile.   

Valuations look enticing as most PSU banks trade below their book value. Banks are now reasonably capitalised and credit growth should accelerate. Margins will continue to hold or increase in higher interest rate cycles.   

So, here are PSU banks that offer an attractive dividend yield. Besides, we have also mentioned the price-to-book (P/B) ratio in the last column. 

Stock Name

Ex-Date

Dividend Type

Dividend %

Dividend (Rs)

Dividend Yield %

P/B

Union Bank of India

26-06-2022

Final

19

1.9

3.96

0.5

Bank of India

07-07-2022

Final

20

2

3.81

0.44

Indian Bank

14-06-2022

Final

65

6.5

3.2

0.66

Canara Bank

15-06-2022

Final

65

6.5

2.59

0.74

Bank of Baroda

17-06-2022

Final

142.5

2.85

2.01

0.8

Punjab & Sind Bank

04-07-2022

Final

3.1

0.31

1.93

0.78

Punjab National Bank

22-06-2022

Final

32

0.64

1.56

0.5

State Bank of India

25-05-2022

Final

710

7.1

1.24

1.74

 

Note: Dividend yield is calculated at the current share price of each stock.

Rate this article:
3.9

Leave a comment

Add comment

DSIJ MINDSHARE

Mkt Commentary31-Oct, 2024

Mindshare31-Oct, 2024

Mindshare31-Oct, 2024

Mkt Commentary31-Oct, 2024

Mindshare31-Oct, 2024

Knowledge

MF28-Oct, 2024

Personal Finance28-Oct, 2024

Technical23-Oct, 2024

DALAL STREET INVESTMENT JOURNAL - DEMOCRATIZING WEALTH CREATION

Principal Officer: Mr. Shashikant Singh,
Email: principalofficer@dsij.in
Tel: (+91)-20-66663800

Compliance Officer: Mr. Rajesh Padode
Email: complianceofficer@dsij.in
Tel: (+91)-20-66663800

Grievance Officer: Mr. Rajesh Padode
Email: service@dsij.in
Tel: (+91)-20-66663800

Corresponding SEBI regional/local office address- SEBI Bhavan BKC, Plot No.C4-A, 'G' Block, Bandra-Kurla Complex, Bandra (East), Mumbai - 400051, Maharashtra.
Tel: +91-22-26449000 / 40459000 | Fax : +91-22-26449019-22 / 40459019-22 | E-mail : sebi@sebi.gov.in | Toll Free Investor Helpline: 1800 22 7575 | SEBI SCORES | SMARTODR