Multibagger smallcap stock from the industrial sector, Gujarat Toolroom, has informed BSE about the next dividend payment. According to an exchange filing, the board has declared a whopping 100 per cent payout on each stock to shareholders. A dividend is a portion of profits that a listed company pays to its shareholders as per the regulations. Dividend payouts can be done monthly, quarterly or annually.
This is the first-ever dividend declared by the smallcap stock which primarily deals in the general construction of residential buildings. The current face value of each stock of Gujarat Toolroom is Re 1. As per calculation, the 100 per cent dividend on each stock turns out to be Re 1.
"The Board of Directors has unanimously considered and declared Interim Dividend of 100%," it said in an exchange filing.
The filing added that April 20 has been set as the record date. "Also fixed Saturday, April 20, 2024, as the record date to ascertain the eligibility of shareholders for payment of Interim Dividend," as per the filing.
According to exchange data, the smallcap stock has yielded a multibagger return of more than 300 per cent in just one year.
Meanwhile, leading brokerage firm ProfitMart Securities has reaffirmed its positive outlook on the smallcap stock. It has set a target of 90 in the long term.
Recently, the smallcap stock obtained a Rs 29 crore order from Mukesh Ambani's Reliance Industries Limited for construction supplies.
