NBFC Stock Hits New 52-Week High After Declaring Dividend, Gets Buy Call For Upside

Leading NBFC Sector stock, IIFL Finance Ltd hit its new 52-week high on January 31, 2023 after it declared interim dividend. The stock rallied 9% intraday a day after it announced interim dividend. The company fixed February 7, 2023 as the record date for interim dividend. The stock rallied 63% in last 1-year. Hem Securities has assigned buy call to IIFL Finance with a target price of Rs 604 apiece and a potential return of 18%. Check key details below:

1. IIFL Finance Ltd Sets Record Date For Dividend

IIFL Finance stated on October 30, 2023 in the regulatory filing, "Board of Directors of the Company at its meeting has inter alia, considered and approved, an Interim Dividend of Rs. 4/- per equity share of the face value of Rs. 2/- each for the financial year 2022-23. Pursuant to the provisions of Regulations 42 of the Listing Regulations, the Board has fixed Tuesday, February 07, 2023 as record date. The said interim dividend will be paid/dispatched on or before February 28, 2023."

2. IIFL Finance Ltd Stock Performance & Return

The stock's last trading price is Rs 514 apiece with an intraday gain of 9.45%. Its 52-week high is Rs 527.20 apiece and 52-week low is Rs 269.55 apiece, respectively.

The company has a market capitalisation of Rs 19,561.88 crore.

It rallied 22% in last 3-months, 48% in last 6-months, 63% in last 1-year, and 206% in last 3-years. It declined 29% in last 5-years.

3. IIFL Finance Ltd Valuation

Leading brokerage firm Hem Securities, in its December 15, 2022 report said, "We initiate a "BUY" rating on the stock and value the stock at 2.2x FY24 estimated Book Value to arrive at the Target of Rs 604." The system credit growth is going very robust and the overall demand for credit looks strong even in the rising rate scenario. IIFL Finance is a diversified NBFC.

4. About IIFL Finance

IIFL Finance Limited is one of the leading players in the financial services space in India. Together with its subsidiaries - IIFL Home Finance Limited, IIFL Samasta Finance Limited (Formerly known as Samasta Microfinance Limited) and IIFL Open Fintech Private Limited, it provides a diverse range of loans and mortgages, according to its official website. These include home loans, gold loans, business loans including loans against property and medium & small enterprise financing, micro finance, developer & construction finance and capital market finance; catering to both retail and corporate clients.

Disclaimer

The stock has been picked from the brokerage report of Hem 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.