Indiabulls Securities a good dividend yield Stock

Indiabulls Securities advanced 5.72% to Rs 131.50 at 14:26 IST on BSE after the company’s board recommended a liberal dividend of Rs 7.50 per equity share for the year ended March 2008.

The dividend yield works out to 5.70%.

The stock hit a high of Rs 132.50 and a low of Rs 124.15 so far during the day. The stock had a 52-week high of Rs 300 on 2 April 2008 and a 52-week low of Rs 85.10 on 3 April 2008.

The Indiabulls Securities scrip was listed at Rs 300 on BSE on 2 April 2008, which is also its all time high after the securities business was spun-off from Indiabulls Financial Services. Indiabulls Financial Services issued one share of Indiabulls Securities for each share held in Indiabulls Financial Services.

The stock had touched a 52-week low of Rs 85.10 on 3 April 2008.

The mid-cap company has an equity capital of Rs 50.69 crore. Face value per share is Rs 2.

The current price of Rs 131.50 discounts its Q4 March 2008 annualised EPS of Rs 8.73, by a PE multiple of 15.06.

Indiabulls Securities is engaged in securities brokerage. The company provides wide range of services to its clients in securities brokerage including equities, commodities, wholesale debt, futures and options; depositary services; research services; insurance, IPO and mutual fund distribution.

Indiabulls Securities reported 45.70% rise in net profit to Rs 55.29 crore on 47.80% increase in total income to Rs 163.90 crore in Q4 March 2008 over Q4 March 2007.

The company posted 81% rise in net profit to Rs 248.67 crore on 40.80% increase in total income to Rs 628.67 crore in FY March 2008 over FY March 2007.