
Vedanta, Hindustan Zinc, Coal India and REC are among the top dividend-yielding stocks in India, suggest a report compiled by the domestic brokerage firm Axis Securities. The list compiled by the homegrown brokerage firm has a total of nine shares, whose dividend yield is more than 10 per cent in the last 12 months.
According to the analysis by Axis Securities, the list also included some midcap and smallcap names such as TV Today Network, RSWM, IDFC, Forbes & Company and Banco Products (India), which have a dividend yield of up to 33 per cent in the last one year. In the large-cap category, the list is topped by Anil Agrawal-led mining major Vedanta which has paid a dividend of Rs 70 in the last one year, with a dividend ratio of 26 per cent. The company was commanding a market capitalization of more than Rs 1.05 lakh crore on Thursday. After Vedanta's results for March 2023 quarter, Kotak Institutional Equities suggest 'selling' Vedanta with a fair value of Rs 235, while Motilal Oswal is neutral on the stock with a target price of Rs 280. However, Systematix Institutional Equities maintained its buy rating on the stock with a target price of Rs 506, suggesting an upside of 80 per cent from its current levels. It is followed by another mining firm and Vedanta's group company Hindustan Zinc, which has paid Rs 75.5 as a dividend with a dividend yield of 24 per cent in the last 12 months. Coal India is the last large cap, which has a dividend yield of 10 per cent, paying Rs 23.3 as a dividend in the given period. Phillip Capital has a 'sell' rating on Hindustan Zinc with a target price of Rs 275, while Motilal Oswal is 'neutral' on the stock with a target price of Rs 300. Antique Stock Broking suggests 'holding' Hindustan Zinc but trimmed its target price to Rs 317. Antique Stock Broking, ICICIDirect and Sharekhan, all three brokerages have 'buy' ratings on Coal India and see Coal India at Rs 280, Rs 275 and Rs 270 apiece, respectively. In the midcap category, REC makes it to the list. The state-owned financial firm has a dividend yield of 10 per cent, paying Rs 13.05 as dividends in the last 12 months. The company announced its earnings for the quarter ended on March 31, 2023, on May 17, Wednesday. Among the smallcap stocks, TV Today Network tops the list with a dividend yield of 33 per cent, with a payout of Rs 70, followed by RSWM which has a dividend yield of 15 per cent and a payout of Rs 25. IFDC is also in the list which has a dividend yield of 12%, along with Forbes & Company and Banco Products (India) at 11 per cent and 10 per cent, respectively. Brokerage firm Sharekhan said that a key catalyst for IDFC stock in the near term is the reverse merger with IDFC First Bank and IDFC FHCL, subject to regulatory approvals. It has a buy rating on the stock with a target price of Rs 79.35. "Auto sector has given a range breakout and almost all the stocks have given a breakout through different patterns. One should keep an eye on Auto Ancillaries stocks," said Aditya Gaggar, Director of Progressive Shares who likes Banco Products after the stock has given 'Flag and Pole' breakout on the technical charts. (Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Business Today)