Dividend of Rs 1.25/Share: FMCG Stock To Reach Ex-Date This Week; Invest in FY25?
Varun Beverages Ltd., a reputable FMCG firm, is valued at Rs. 1,82,669 Cr. on the market. Varun Beverages Ltd. is one of the biggest franchisees of carbonated soft drinks (CSDs) and non-carbonated beverages (NCBs) outside of the US. Varun Beverages Limited (VBL), a significant player in the beverage industry, is among PepsiCo’s biggest franchisees globally. The stock will be monitored carefully this week since it will trade on April 4, 2024, ex-dividend, with a payout of Rs 1.25. The opening price of shares today was Rs 1401.55, a higher price. The stock reached a 52-week high of Rs 1,560.30 on February 26, 2024, and a 52-week low of Rs 681.53 on March 31, 2023.
Dividends for Varun Beverages
“In response to our February 5, 2024, notification regarding the recommendation that the Company’s equity shareholders receive a Final Dividend, the Board of Directors, by means of a circular resolution passed today at 2:52 PM, set Thursday, April 4, 2024, as the Record Date, in order to determine which Equity Shareholders are eligible to receive a Final Dividend of Rs. 1.25/-per per equity share with a face value of Rs. 5 per share for the Financial Year that ends on December 31, 2023,. In a regulatory filing on March 20, 2024, Varun Beverages stated that the Final Dividend, if approved by the Equity Shareholders at the 29th Annual General Meeting scheduled on Wednesday, April 3, 2024, will be paid on and from Friday, April 5, 2024, to those shareholders whose names appear in the Company’s Register of Members or in the list of beneficial owners kept by the Depositories as of Thursday, April 4, 2024.
“After receipt of requisite approvals (including but not limited to PepsiCo Inc. and Competition Commission South Africa), our Company has completed the acquisition of the Company, The Beverage Company Proprietary Limited, South Africa, along-with its wholly-owned subsidiaries (hereinafter referred as “Bevco”). As a result, as of March 26, 2024, Bevco is now a subsidiary of our company,” Varun Beverages said in a stock market statement on March 27, 2024.
Target Share Price for Varun Beverages
Choice Broking’s Equity Research Analyst, Deven Mehata, said that VBL’s current market price (CMP) is 1398.60. Notably, the stock, which is trading between 1360 and 1455, is undergoing consolidation. This pattern of consolidation points to a potential breakthrough in either way.
The stock has found strong support at its 50-day Exponential Moving Average (EMA), which is now around 1360 levels, which is an important finding. In the event that this support is broken, there will probably be a decline towards the 100-day EMA support at 1270.
Buying during this consolidation period, especially close to the 50-day EMA support level, offers a chance for those looking for entry opportunities. To limit possible losses, it is suggested to place a stop loss (SL) around 1270. The goals are located between 1500 and 1550.
Buying near the bottom of the market might be a good way to maximize profits in VBL. Investors are thus urged to keep a careful eye on price changes to identify the best times to enter and leave the market.
