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Best Dividend Stocks: Most of the long term investors get disappointed as they do not get the right value for their time and money invested in the stock market. They may receive less capital appreciation after holding the security for a longer period. But, worry no more! You can earn good returns on both your time and money invested.
One such way to earn more is by investing in dividend stocks. So here, we present you the list of best dividend stocks under Rs 600 to help you grow your wealth.
Best Dividend Stocks Under Rs 600
Under Best dividend stocks under Rs 600, we have handpicked the best stocks from various sectors of the economy. Here, we have discussed the company and its financial performance in brief to help you have a detailed look at the stock.
#1 – ITC
ITC Limited, originally named “Imperial Tobacco Company of India Limited”, is an Indian conglomerate company that was initially started as a tobacco company. The company was established in 1910 in Kolkata, India.
The company operates in diverse business segments including FMCG, Hotels, Paperboard, Paper & Packaging, Infotech and Agri-business.
ITC, the leader in the domestic cigarette market, has a market share of over 80%. The company is a major player in the Indian market with over 36,500 employees and over 200 manufacturing units across the country. The company has 25 FMCG brands and 115 hotels across 80 locations in the country.
According to the Q4 results of FY23 by ITC Limited, gross revenue across all segments grew by 17.6% and profit after tax (PAT) by 24.5%. The company also gives good returns to the shareholders through 24% growth in EPS. The company is debt free from last 5 years with increasing return ratios like ROCE and ROE.
As an achievement in its own right, the company has consistently given dividend for the last 10 years. As per the current share price, the company pays a dividend of 3.5%.
| CMP (In Rs) | 470 | Market Cap (in Rs Crs) | 5,87,698 |
| Dividend Yield (%) | 4.04 % | Face Value (in Rs) | 1 |
| EPS (In Rs) | 15.44 | P/E Ratio | 28.48 |
| ROCE (in %) | 35.81 | ROE (in %) | 27.75 |
| Promoter Holding | 0 | Book Value | 49.51 |
| Debt Equity Ratio | 0 | Price to Book Value | 8.89 |
#2 – Indraprastha Gas
Indraprastha Gas Limited is one of the well known natural gas distributors in India. Best Dividend Stocks list It was established in 1998 to take over the Delhi City Gas Distribution Project from GAIL (India) for laying a network of gas distribution pipelines.
The company is engaged in distribution of natural gas to domestic, commercial and transportation sectors in the National Capital Territory of Delhi.
It supplies Compressed Natural Gas (CNG) to the transport sector, Piped Natural Gas (PNG) to the domestic and commercial sectors and Regasified Liquefied Natural Gas (RLNG) to industries.
The company’s board has PSUs such as GAIL and BPCL as promoters, each holding an equal stake of 22.5%, as well as the Government of NCT Delhi with 5%.
Carrying forward the company’s financials, the company reported a 145% increase in sales from Rs 5,764 crore in FY23 to Rs 14,145 crore in FY23 and an 83% increase in net profit to Rs 755 crore in FY2019. 1,386 crore from Rs. In FY23.
Talking about the return ratio, the company has an upward trend in ROCE and ROE after the pandemic. It is a debt-free company with year-on-year (YoY) EPS growth.
The company is paying dividend regularly for the last 10 years. For the year ending March 23, it has declared a dividend of 650% at Rs 13 per share on the face value. As per the current share price of Rs 480, the dividend yield is 2.7%.
| CMP (In Rs) | 487 | Market Cap (in Rs Crs) | 33,022 |
| Dividend Yield (%) | 2.7 | Face Value (in Rs) | 2 |
| EPS (In Rs) | 23.42 | P/E Ratio | 20.14 |
| ROCE (in %) | 22.4 | ROE (in %) | 20.67 |
| Promoter Holding (%) | 45 | Book Value (In Rs) | 113.3 |
| Debt Equity Ratio | 0 | Price to Book Value | 4.17 |
#3 – AllSec Technologies
Allsec Technologies Limited is an Indian company incorporated in 1998 in Chennai, India is one of the best stock in Best Dividend Stocks list. It is a global leader in outsourcing solutions providing future-ready, flexible business solutions to industry giants, Fortune 100 companies and growth-focused organizations.
It primarily provides business solutions under two segments, Digital Business Services and Human Resource Outsourcing (HRO). It was acquired by Quess Corp in 2019. Being in the industry for more than two decades, the company has more than 5000 employees. It has its operations in 3 locations across India namely NCR, Bengaluru and Chennai.
There is an upward trend in both the revenue and profits of the company in the last 5 years from FY19 to FY23. From FY19 to FY23 the revenue has almost doubled from Rs 261 crore to Rs 390.5 crore in the last 5 years.
Talking about net profit, we can reach 37% increase in net profit from Rs 35 crore to Rs 48 crore on YoY basis. Allsec Technologies has maintained high ROE and ROCE. Furthermore, it has a high dividend yield of 4.23%.
| CMP (In Rs) | 522 | Market Cap (in Rs Crs) | 803.44 |
| Dividend Yield (%) | 8.58 | Face Value (in Rs) | 10 |
| EPS (In Rs) | 32.06 | P/E Ratio | 14.74 |
| ROCE (in %) | 25.98 | ROE (in %) | 21.27 |
| Promoter Holding (%) | 73.39 | Book Value (In Rs) | 150.72 |
| Debt Equity Ratio | 0 | Price to Book Value | 3.14 |
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#4 – Gujarat Heavy Chemicals Limited
Gujarat Heavy Chemicals Limited is an Indian company founded in 1983 best stock in Best Dividend Stocks list. The company is primarily involved in business sectors such as chemical, textile and consumer product manufacturing. With a presence of more than three decades in the industry, the company has achieved a turnover of 37.89 billion.
In the chemical industry, GHCL manufactures Soda Ash with a production capacity of 1.1 million MTPA. In addition, it aims to increase the production capacity to 500 thousand MTPA by 2025.
GHCL is also one of the leading yarn manufacturers in the country and produces cotton and synthetic yarns. The Consumer Products Division of GHCL manufactures and sells Edible Salt and Industrial Grade Salt under the brand names I-FLO and Sapan.
Moving on to the financials, we can see an increase in the revenue as well as profits of the company. Revenue has increased from Rs 3,778 crore to Rs 4,545 crore from FY 22 to FY 23. Profit has also increased by 90% to Rs 1,141 crore from Rs 598 crore.
Moreover, the company has been consistently paying dividend to its shareholders for the last 5 years. As per the current share price of Rs 493.65, the dividend yield on the stock comes out to 3.55%.
| CMP (In Rs) | 518 | Market Cap (in Rs Crs) | 4903 |
| Dividend Yield (%) | 3.55 | Face Value (in Rs) | 10 |
| EPS (In Rs) | 117.69 | P/E Ratio | 4.19 |
| ROCE (in %) | 31.97 | ROE (in %) | 28.85 |
| Promoter Holding (%) | 19.05 | Book Value (In Rs) | 413.84 |
| Debt Equity Ratio | 0.09 | Price to Book Value | 1.2 |
#5 – Balmer Lawrie Investments
Balmer Lawrie Investments Limited is a Government (Non-Banking Financial Institution) NBFC where the President of India is a major shareholder with 59.67% stake.
The company was incorporated as NBFC in 2001. Even though it is an NBFC, it does not undertake any non-banking finance activity other than holding equity shares in its subsidiary Balmer & Lawrie Company Limited.
A subsidiary of Balmer Lawrie Investments Ltd. is a Miniratna PSU engaged in the business of industrial greases, specialty lubricants, logistic infrastructure etc. The company is listed on the Bombay Stock Exchange and the Calcutta Stock Exchange.
The revenue earned from the subsidiary company is directly reflected in the financial position of this holding company. The company’s revenue has increased from Rs 2060 crore in FY22 to Rs 2,328.39 crore in FY22 and net profit has increased from Rs 137.20 crore to Rs 172.36 crore, a growth of 25.7% in overall net profit.
Talking about dividend yield, it is a good dividend paying stock with dividend yield up to 7.5%. The company has been paying dividend to its shareholders continuously for the last 10 years.
| CMP (In Rs) | 413 | Market Cap (in Rs Crs) | 914 |
| Dividend Yield (%) | 8.12 | Face Value (in Rs) | 10 |
| EPS (In Rs) | 73.46 | P/E Ratio | 5.45 |
| ROCE (in %) | 7.56 | ROE (in %) | 7.92 |
| Promoter Holding (%) | 59.67 | Book Value (In Rs) | 788.73 |
| Debt Equity Ratio | 0.08 | Price to Book Value | 0.51 |