10:1 Split, Rs 51 Dividend: Tata Stock Set For Dividend On May 29, Big Update Issued; Buy?

Tata Group company Tata Steel will hold meeting of Board of Directors on May 29 to consider financial results and recommend dividend, if any for financial year ended March 31, 2024. Current market price of Tata Steel share on BSE is Rs 175.50 per share with intraday gain of 0.40%. Tata Steel shares have already rallied 4.53% in last 1-week and surged 64.94% in last 1-year span.

It is worth noting that Life Insurance Corporation of India (LIC) has 7.29% stake in Tata Steel with 90,97,67,778 shares of the company. Tata Steel has a market capitalisation of Rs 2,19,084.42 crore. Tata Steel issued new update pertaining to issuance of issuance of unsecured Non-Convertible Debentures on private placement basis. More details below:

Tata Steel Gives New Update On Upcoming Board Meet: As per the regulatory filing issued as on May 26, 2024, "We wish to inform that, the Board of Directors of Tata Steel Limited, at its meeting to be held on May 29, 2024, inter alia will also consider the issuance of unsecured Non-Convertible Debentures on private placement basis. This notice is being submitted pursuant to Regulation 29(1)(d) and 50(1)(d) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015."

Tata Steel Share Performance & Return: The 52-week high price of Tata Steel shares on BSE is Rs 178.00 per share (as on 27/05/2024) and 52-week low price is Rs 104.10 per share (as on 26/05/2023), respectively. The ROE of Tata Steel is quoted at 3.48, PE at 48.89, and EPS (TTM) at 3.59. Tata Steel shares today traded fresh 52-week high when price surged to Rs 178.00 per share on BSE. Tata Steel shares offered shareholders return of 25% year-to-date, jumped 39% in last 6-months, and soared 68% in last 2-years. In last 5-years, Tata Steel stock surged 243% and gained 291% in last 10-years span.

Tata Steel To Consider Financial Results, Dividend On May 29: As per the regulatory filing of Tata Steel dated May 23, 2024, "meeting of the Board of Directors of Tata Steel Limited ('the Company') will be held on Wednesday, May 29, 2024, inter alia:
1. to consider and take on record the audited Standalone and unaudited Consolidated financial statements and results for the quarter ended March 31, 2024;
2. to consider and take on record the audited Standalone and Consolidated financial statements and results for the financial year ended March 31, 2024;
3. recommend dividend, if any, for the financial year ended March 31, 2024;"

Tata Dividend History: Tata Steel declared its highest ever dividend of Rs 51/share in 2022. It declared 29 dividends since May 24, 2001. In the last 1-year, Tata Steel announced an equity dividend amounting to Rs 3.60 per share. At the current market price of Rs 175.50, Tata Steel gives traders an attractive dividend yield of 2.05%, according to Trendlyne.

Tata Steel Shareholding For March 2024 Quarter: Number of FII/FPI investors increased from 1036 to 1043 in Mar 2024 quarter. Mutual Funds have increased holdings from 9.83% to 10.10% in Mar 2024 quarter. Number of MF schemes increased from 59 to 65 in Mar 2024 quarter, according to Trendlyne.

Tata Steel Bonus Share History: Tata Steel declared 1 bonus share since August 11, 2004. The metal stocks' last bonus was announced in the ratio 1:2 and ex-bonus date was set as August 11, 2004.

Tata Steel Stock Split History: It sub-divided/split the face value of its share once since July 28, 2022. Tata Steel split the face value of its shares from Rs 10 to Re 1 in 2022. Tata Steel share traded ex-split as on July 28, 2022.

ICICI Securities Bullish On Tata Steel: ICICI Securities expects domestic steel consumption to surge 2x to 210 mt (FY23 baseline) by FY32E. Among the leading steel firms, ICICI Securities believes JSW Steel and Tata Steel to reach 50 mtpa and 40 mtpa of domestic capacity, each by FY30E. The brokerage house anticipates Tata Steel shares hitting the levels of Rs 200 soon. The earlier target price for Tata Steel shares was set Rs 150.

The analyst added that after 30 years, role of China in global steel consumption is likely to decline and India to account for bulk of steel consumption growth from CY20-25E. While China's steel consumption may progressively decline from peak levels of CY20 by 110-120 mt, in case of India it is expected to surge by 66 mt by CY25.
"As per our analysis, the link between steel prices of India and China has gone down post Covid-19 due to supply-chain issues, localisation of steel industry and strengthening domestic consumption in India as compared to decline in China."

Tata Steel Financials: The metal giant for the quarter ended December 31, 2023 announced its consolidated net profit at Rs 522.14 crore from the net loss of Rs 2501.95 crore announced in the corresponding quarter of last year amid robust domestic demand offsetting weakness in Europe. Tata Steel announced a net loss of Rs 6511.16 crore for Q2 as a result of impairment charges. Tata Steels' consolidated revenue from operations for December 2023 quarter fell 3% to Rs 55,311.9 crore as compared to Rs 57,083.56 crore declared in the same quarter of preceding year. Sequentially, consolidated revenue from operations fell 0.7% from Rs 55,681.93 crore in the preceding quarter.

Disclaimer: The stock has been picked from the brokerage report of ICICI Securities. Greynium Information Technologies, the Author, and the respective Brokerage House are not liable for any losses caused as a result of decisions based on the article. Goodreturns.in advises users to check with certified experts before taking any investment decision.