This Stock is one of the most undervalued high dividend paying stocks in 2018 and can give consistent dividend in future also.
If someone had brought 100 share of this stock in year 2000 which cost 9500INR than in 2018 , he/she received the dividend of 1,52,800 INR.
In 2018 stock has given 38.2 INR dividend , which is 1608% Dividend yield on investment price (bonus/splits adjusted). So total return just from dividend is 37 times in 18 year. Also stock appreciated 82times in 18 year.
Stock we are taking here is Vedanta Ltd. In year 2000 Stock price was 95 INR. Assuming 100 share was brought that time,it had cost 9500INR.
Now stock has given 1:1 bonus in 2005 and again 1:1 bonus on 2008. Also in 2008 Face value changed from 10 to 1. So in total 100 share brought in year 2000 is now 4000share. Now lets have look at dividend of Vedanta since year 2000
We have adjusted all dividend data according to splits and bonus.
As Shown in table, stock has given dividend each year and yield is also very high. Current price of stock in 203INR(as on 31st Dec 2018) so value of investment 9500 INR did in year 2000 is now 8.12lakhs and dividend income in 18 year is 3.54 lakhs.
Now if we talk about Vedanta’s business, its most diversified company in commodity space. Company has business vertical in Zinc, Aluminum, Copper, Iron ore, power and oil&gas.Company has high dividend yield of 10% at current price also and we expect it maintain its track record further.
This stock be the best dividend growth investing stock prick of long term investors.Have you invested in Vedanta ?
Be Smart. Invest Smartly.
Disclaimer: Please take advice of your financial advisor before any investment