Why HDFC AMC Could Be A Smart Buy Before Rs 90 Dividend Record Date In June? Technical Setup Explained

A popular mutual fund manager in India is HDFC Asset Management Company Limited (HDFC AMC). With a market valuation of Rs 1.03LCr, HDFC Asset Management Company's shares closed Friday's trading session on the NSE 0.53% higher at Rs 4,810 a share. Technically speaking, HDFC AMC is trading above all of its major moving averages, including the short-, medium-, and long-term EMAs, following the stock's 52-week high of Rs 4,869.90 marked on Thursday, May 22.

HDFC AMC Dividend

"26th Annual General Meeting (AGM) of the Company will be held on Wednesday, June 25, 2025. The Record date, for ascertaining the shareholders who will be eligible to receive the payment of final dividend, subject to shareholder's approval, will be Friday, June 6, 2025. This is further to our letter dated April 17, 2025, wherein it was informed that the Board had inter-alia, recommended a final Dividend of Rs. 90/- per equity share of Rs. 5/- each of the Company, subject to approval of Shareholders of the Company. The dividend, if approved by the shareholders, will be paid within the prescribed period of 30 days from the date of the forthcoming AGM," said HDFC AMC in a stock exchange filing.

HDFC AMC Q4 Results

In comparison to the Rs 540.84 crore recorded during the same period previous year, HDFC Asset Management Company generated a net profit of Rs 638 crore in the March 2025 quarter, an 18% growth. The March quarter's revenue from operations of Rs 901.36 crore represented a 30% increase over the Rs 695.43 crore reported in Q4FY24.

Compared to the operating profit of Rs 523.6 crore for the quarter ending March 31, 2024, the operating profit for the quarter ending March 31, 2025, amounted to Rs 711.5 crore. In the March quarter, the fund house's quarterly average assets under management increased by 26% to Rs 7.74 lakh crore. Following a 28.32% increase in total income to Rs 4,058.26 crore in FY25 over FY24, the company's standalone net profit climbed 26.47% to Rs 2,461.05 crore over the course of the full year.

HDFC AMC Share Price Target

"HDFCAMC is currently trading around ₹4,810 and has recently given a strong breakout from a Cup & Handle pattern on the daily timeframe-a bullish continuation formation that indicates potential for further upside. Post-breakout, the stock is seen consolidating near the breakout level, which is a healthy sign of base-building and strength retention. The stock is clearly in an upward trend, forming higher highs and higher lows, reinforcing the bullish structure. Technically, HDFC AMC is trading above all its key moving averages, including the short-term, medium-term, and long-term EMAs-signaling solid momentum across all timeframes," said Hardik Matalia - Derivative Analyst at Choice Broking.

"The Relative Strength Index (RSI) is at 67.02, indicating a phase of sideways movement, which often precedes the next directional move. A sustained move above ₹4,870 will likely act as a trigger for fresh upside and could open the door for further gains. Given this setup, short-term traders should wait for a breakout above ₹4,870 or look for any healthy retracement to enter, depending on price action and volume confirmation," the analyst added.

"For long-term investors, the stock remains positive as long as it holds above ₹4,650, and they should continue to hold their positions. Additionally, as long as HDFC AMC maintains levels above ₹4,500, the stock remains in a structurally bullish trend, making it a potential candidate for a 'buy-on-dips' strategy. In summary, the stock is well-positioned technically, and while some short-term consolidation may persist, the broader trend remains constructive," Hardik Matalia further recommended.

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.