HCL Dividend: In Tuesday's opening trades on the BSE, shares of HCL Technologies were trading at a lower price. The IT company became ex-dividend a day before the record date for interim dividend, which it declared last week along with its first-quarter earnings for the current fiscal, and the share price fell more than 1% to Rs 890 per share. For the fiscal year 2022–2023, the board of HCL Tech has declared an interim dividend of Rs. 10 per equity share with a face value of Rs. 2. (FY23). The company had previously stated that the board of directors had approved setting the record date for the payment of the aforementioned interim dividend on Wednesday, July 20, 2022, and that the payment date would be Tuesday, August 2, 2022. The ex-dividend date for a stock is typically one business day before the record date for determining who is entitled to the distribution.
The company stated in a message that the shall be paid to the equity shareholders whose names appear on the company's register of members or in the records of the depositories as beneficial owners of the shares as of Wednesday, July 20, 2022, which is the record date established for this purpose. The second interim dividend of the fiscal year 2022–23 will be this one.
For the fiscal FY22, HCL Tech had distributed a total dividend of Rs 42 per equity share.
HCL Technologies is a global Indian provider of IT services and consulting with its headquarters in Noida, India. As opposed to the benchmark Sensex's 8% decline so far in 2022, the IT stock has fallen roughly 33% (YTD).
The net profit for HCL Technologies was Rs 3,283 crore, up 2.4% year over year (YoY), but down 8.6% sequentially. The quarter's revenue was Rs 23,646 crore, an increase of 16.9% year over year. The increase was 3.8% on a sequential basis.
Revenue increased by 11.2 percent YoY and 1.1 percent sequentially in terms of dollars. Additionally, the business kept it's 12- to 14-percent revenue growth forecast for FY23.
The total contract value (TCV) of new deals for HCL Tech was $2 billion, up 23.4% year over year. The TCV we have signed is the highest ever, which also inspires confidence in a solid note to begin FY23 on. Our services business is still experiencing strong growth momentum, expanding at 2.3% quarter over quarter and 19% year over year in constant currency. The adoption of the cloud was a horizontal theme across all services and sectors, and it was driven by our digital engineering and digital application services, according to C Vijayakumar, CEO & MD of HCL Technologies.
Should you Invest in HCL Tech?
Due to the pressure on the margin front, prominent international brokerages have lowered their EPS expectations for the IT major. However, their projections indicate that the counter
With a target price of Rs 1,300, Morgan Stanley is equal weight on the IT bluechip since it thinks that earnings risk would likely keep a lid on the company's possibilities for re-rating. The worldwide brokerage business stated that "consensus FY23 and FY24 margins are moving down, resulting in cutbacks in the EPS estimate."
HCL Technologies' outperform rating from Credit Suisse has not changed, although the firm's EPS projections for the period of FY 23 to FY 25 have been cut by 8 to 14%. Pricing expansion and margin pressures are affecting the stock. The counter has a target price set by this brokerage of Rs 1,110. might rise by up to 45%.