Blue Star Turns Bearish Despite Q4 Beat & Rs 9 Dividend, Breaks Below Rs 1600; What Traders Should Watch Now?

Mumbai is home to the headquarters of Blue Star Ltd., a global Indian manufacturer of home appliances. Since its founding in 1943 by Mohan T. Advani, Blue Star has been producing air conditioners, air purifiers, and water coolers. Blue Star's shares fell 4.93% to Rs 1,595 a share at the close of Thursday's trading session, below the Rs 1,600 level. The stock is making lower highs after falling below its short-term moving averages. Even though the company reported outstanding Q4 and FY25 profitability and a sizable dividend recommendation, selling pressure is mounting. Let's find out how market watchers should trade at the moment.

Blue Star Dividend

The Board of Directors "recommended a final dividend of Rs 9/- (Rupees nine) per equity share of Rs 2/- (Rupees Two) each, for the financial year ended March 31, 2025," said the company in a stock exchange filing.

On Wednesday, August 6, 2025, the company will have its 77th Annual General Meeting (AGM). For the purpose of paying dividends, the Company's Share Transfer Books and Register of Members will be closed from Saturday, July 19, 2025, until Wednesday, August 6, 2025.

Blue Star Dividend Payment & Record Date

"The Dividend on equity shares for the year ended March 31, 2025, as recommended by the Board of Directors and as may be declared at the AGM, will be paid/dispatched after August 6, 2025 to those Shareholders or their mandates: a) Whose names appear as Beneficial Owners as at the end of the business hours on Friday, July 18, 2025 ('Record Date'), in the list of Beneficial Owners to be furnished by National Securities Depository Limited and Central Depository Services (India) Limited in respect of the shares held in electronic form; and b) Whose names appear as Members in the Register of Members of the Company as at the end of the business hours on Friday, July 18, 2025 ('Record Date'), after giving effect to valid request(s) received for transmission/transposition of shares and lodged with the Company/ its Registrar & Share Transfer Agents on or before Friday, July 18, 2025," informed Blue Star to stock exchanges.

Blue Star Q4 Results

The company's net profit for the fourth quarter jumped by 21% to Rs 194 crore. In the same period last year, it posted a net profit of Rs 159.71 crore. The company's revenue for the quarter under review was Rs 4,018.96 crore, up 20.8% from Rs 3,327.77 crore in Q4FY24. In the March quarter, total expenses climbed 21.34 percent to Rs 3,793.73 crore. In Q4 of FY25, the company's earnings before interest, tax, depreciation, and amortisation (Ebitda) increased 16.2% to Rs 248.82 crore, up from Rs 214.13 crore in Q4FY24.

The company's net profit increased from Rs 414.31 crore in FY24 to Rs 591.28 crore in FY25 throughout the course of the whole year. Revenue increased from Rs 9,685.36 crore in FY24 to Rs 11,967.65 crore in FY25.

Blue Star Share Price Target

"Blue Star is showing weakness after failing to sustain above key resistance near ₹1700. The stock has slipped below its short-term moving averages and is forming lower highs. Immediate support lies at ₹1600, followed by ₹1550. If it breaks ₹1600, further downside toward ₹1500 is likely. RSI is cooling off, indicating fading momentum. The trend remains bearish unless it reclaims ₹1700 decisively. Traders should be cautious and avoid fresh long positions until a clear reversal is seen," 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.