Top 5 Indian Stocks with the highest dividend yields.


4 min read
Top 5 Indian Stocks with the highest dividend yields.

  1. Indian Oil Corporation Ltd ( Dividend Yield: 13.85 %)

About the Company: IOCL is Indias Maharatna national oil company with business interests straddling the entire hydrocarbon value chain from Refining, Pipeline Transportation and Marketing of Petroleum Products to Research & Development, Exploration & Production, Marketing of Natural Gas and Petrochemicals.

Sector: Oil & Gas Exploration and Production

Overall Fundamental health: Strong

  • Book Value: 129.80 | Stock P/E: 8.51 | ROCE: 22.19 % | ROE: 20.53 % | Free cash flow 5years: 125,343 Cr.|Debt: 65,650 Cr.. | Net worth: 113,874 Cr. | Reserves: 104,395 Cr. | Interest Coverage: 6.17 | Debt to equity: 0.58 | Pledged percentage: 0.00 % | Current ratio: 0.90 | Quick ratio: 0.30
  • 09 out of 28 major indicators show that this stock is BEARISH on charts.


2. Vedanta Ltd ( Dividend Yield: 12.45 %)

About the Company: Vedanta is principally engaged in the exploration, production, and sale of aluminum, iron ore, copper, commercial power and oil and gas. It is the largest mining and non-ferrous metals company in India and has mining operations in Australia and Zambia[2] and oil and gas operations in three countries.

Sector: Minings and Minerals

Overall Fundamental health: Strong

  • Book Value: 182.86 | Stock P/E: 8.62 | ROCE: 16.39 % | ROE: 12.11 % | Free cash flow 5years: 53,954 Cr. | Debt: 58,159 Cr. | Net worth: 63,508 Cr. | Reserves: 63,136 Cr. | Interest Coverage: 3.56 | Debt to equity: 0.92 | Pledged percentage: 0.00 % | Current ratio: 0.88 | Quick ratio: 0.71
  • 19 out of 28 major indicators show that this stock is BEARISH on charts.

3. National Aluminium Company Ltd ( Dividend Yield: 10.81%)

About the Company: National Aluminium is engaged in the business of manufacturing and selling of Alumina and Aluminium.

Sector: Aluminum

Overall Fundamental health: Strong

  • Book Value: 61.64 | Stock P/E: 5.81 | ROCE: 11.56 % | ROE: 6.94 % | Free cash flow 5years: 2,226 Cr. | Debt: 44.99 Cr.| Net worth: 10,505 Cr. | Reserves: 9,538 Cr. | Interest Coverage: 1,140 | Debt to equity: 0 | Pledged percentage: 0.00 % | Current ratio: 1.38 | Quick ratio: 1.07
  • 19 out of 28 major indicators show that this stock is BEARISH on charts.


4. SJVN Ltd ( Dividend Yield: 8.99%)

About the Company: SJVN is the principal business activity Electricity generation of the company. The company is also engaged in the business of providing consultancy.

Sector: Electric Utilities

Overall Fundamental health: Strong

  • Book Value: 28.80 | Stock P/E: 8.53 | ROCE: 12.67 % | ROE: 8.53 % | Free cash flow 5years: 6,221 Cr. | Debt: 2,231 Cr.| Net worth: 10,695 Cr.. | Reserves: 6,765 Cr. | Interest Coverage: 6.15 | Debt to equity: 0.21 | Pledged percentage: 0.00 % | Current ratio: 8.36 | Quick ratio: 8.27
  • 10 out of 28 major indicators show that this stock is BEARISH on charts.

5. Coal India Ltd ( Dividend Yield: 6.60%)

About the Company: Coal India is mainly engaged in mining and production of Coal and also operates Coal washeries. The company contributes to around 82% of the coal production in India.

Sector: Energy

Overall Fundamental health: Strong

  • Book Value: 44.24 | Stock P/E: 12.19 | ROE: 31.62 % | ROCE: 45.55 % | Free cash flow 5years: 47,774 Cr. | Debt: 1,538 Cr.| Net worth: 19,847 Cr. | Reserves: 13,639 Cr. | Interest Coverage: 68.77 | Debt to equity: 0.08 | Pledged percentage: 0.00 % | Current ratio: 1.45 | Quick ratio: 1.32
  • 14 out of 28 major indicators show that this stock is BULLISH on charts.

Fun facts: 1) Ingersoll Rand India Limited announced a whopping 202 Rs/ per share special dividend on 10/05/2018 when it was trading at 650 Rs.

2) Hindustan Zinc Ltd. announced 2375% dividend between 2016–17.

Learn Fundamental Analysis in Detail here
Learn Technical Analysis in Detail here

Important Suggestions:

  1. There are 5 companies (Chennai Petro (7.19%), PFC (6.62%), NHPC (6.19%), REC (6.13%), BSE (6%)) between SJVN and Coal India but I skipped them all as Coal India is a better option compared to them and its Dividend Yield decreased because of its last dividend performance.
  2. Never use high brokerage demat account for your investments in India.
    Use 0 brokerage demat accounts like Upstox
  3. There are other points in the fundamental analysis which I didn’t cover.
  4. Consult only SEBI Registered investment Advisors for your investment.
    You can hire one here
  5. Learn to analyze the stocks before investing (In case you aren’t hiring an advisor.)

Thanks!

GO TOP

🎉 You've successfully subscribed to Marketnotes - Decoding Financial News!
OK