Small Cap Stock Offers Rs 104.50 Massive Dividend Payout With Record Date On June 27; The Next Big Gainer?

An Indian business called Swaraj Engines Limited (SEL) is best known for producing and providing diesel engines for the Swaraj tractors made by Mahindra & Mahindra (M&M). Founded in 1985 in Mohali, Punjab, Swaraj Engines Limited ("SEL") is mainly involved in the supply of engines to Mahindra & Mahindra Ltd.'s (M&M) Swaraj Division. Diesel engines of 22 HP to more than 65 HP are manufactured and supplied by SEL. In addition to a substantial dividend recommendation of Rs 104.50, the small-cap firm has released its financial results for the fourth quarter and year ending March 31, 2025.

Swaraj Engines Dividend

"The Board, while approving the annual accounts, has recommended an equity dividend of 1045% (Rs. 104.50 per share) for the financial year ended 31 st March, 2025," said Swaraj Engines in a stock exchange filing.

"The Register of Members and Share Transfer Books of the Company will remain closed from Saturday, 28th June, 2025 to Friday, 4th July, 2025 (both days inclusive) for the purpose of determining the Members eligible to receive the dividend, if declared by the shareholders at the ensuing Annual General Meeting ("AGM") scheduled to be held on Tuesday, 15th July, 2025. The dividend, if declared at the AGM, will be paid/dispatched by the Company in permitted modes after Tuesday, 15th July, 2025 within the stipulated timelines," the company further informed stock exchanges on Wednesday.

Swaraj Engines Dividend Record Date

"We hereby withdraw the information related to Book Closure dates i.e. from Saturday, 28th June, 2025 to Friday, 4th July, 2025 (both days inclusive) and hereby inform that Friday, 27th June, 2025 is fixed as the Record Date for purposes of determining the Members eligible to receive the dividend, if declared by the shareholders at the ensuing Annual General Meeting ("AGM") scheduled to be held on Tuesday, 15th July, 2025," Swaraj Engines confirmed in a separate regulatory filing on Wednesday.

Swaraj Engines Q4 Results

According to Moneycontrol, the company's standalone net sales for the quarter ending in March 2025 were Rs 454.16 crore, increasing 29.41% from Rs 350.96 crore in the quarter ending in March 2024. In the quarter under review, its net profit was Rs. 45.42 crore, gaining 29.11% from Rs. 35.18 crore in the same quarter last year. In Q4FY25, the company's EBITDA was Rs. 66.60 crore, growing 29.93% from Q4FY24's Rs. 51.26 crore.

Swaraj Engines Share Price Target

Mandar Bhojane - Equity Research Analyst at Choice Broking said, "SWARAJENG has recently witnessed a strong upward trend, marked by a sharp rally in April following a breakout from a bullish flag pattern. The stock surged past key resistance levels with increasing volumes, confirming bullish momentum. After testing a fresh all time high of 4,470, the price has slightly pulled back but remains elevated. From a technical indicator standpoint, all the major exponential moving averages (20/50/100/200) are aligned in a bullish sequence with the current price trading well above all of them."

"The 20-day EMA at 3,782 and the 50-day EMA at 3,476 reflect the short-term trend support levels. On the upside, resistance is observed at 4470. A breakout above this level could propel the stock toward a short-term target of 4700. Conversely, immediate support is positioned at 4000, with a suggested stop-loss at 3900 to mitigate downside risk. The Relative Strength Index (RSI) is currently at 63.05 and trending upward, indicating strengthening buying momentum and further upside potential," the analyst added.

"In conclusion, SWARAJENG presents a promising buying opportunity, with an upside potential toward 4700 based on technical analysis and prevailing market conditions. However, traders should implement proper risk management strategies to protect against potential market reversals," Mandar Bhojane further recommended.

Swaraj Engines Target Price

"Swaraj Engines has been gaining strength and is holding well above its support levels. The price structure looks healthy, with a series of higher highs and higher lows. If the stock crosses ₹4170, it could see a strong move towards ₹4300. Sentiment remains positive as long as it stays above ₹4050," commented Riyank Arora - Technical Analyst - Mehta Equities Limited.

Disclaimer

The recommendations made above are by market analysts and are not advised by either the author, nor Greynium Information Technologies. The author, nor the brokerage firm nor Greynium would be liable for any losses caused as a result of decisions based on this write-up. Goodreturns.in advises users to consult with certified experts before making any investment decision.