Best Dividend-Paying Indian Stocks with Big Gains in 2023 – Hindustan Zinc, ITC, More

Indian companies like Hindustan Zinc Ltd, Tech Mahindra Ltd, ITC Ltd, GAIL (India) Ltd, and HCL Technologies Ltd are some of the best dividend-paying stocks that have seen big gains and growth in the past year.

These stocks have shown high income yields and strong returns on investment, which makes them good choices for investors who want to make money and get stable returns.

Other companies, like Bajaj Auto Ltd, Hero MotoCorp Ltd, and JSW Steel Ltd, have also shown great dividend yields and returns, which has helped the success of dividend stocks in the Indian market as a whole.

Hindustan Zinc Ltd., which had a dividend return of 17% and a 1-year gain of 22.47%, was one of the best of these top dividend-paying stocks. Tech Mahindra Ltd. also had a payout yield of 3.89% and a 1-year gain of 17.89%.

Another big player, ITC Ltd, had a payout yield of 3.36% and a 1-year gain of 22.42%. These numbers show that these companies have done very well in terms of both earnings and stock price growth.

The Best Ways to Assess a Dividend-Paying Shares

To evaluate the performance of dividend-paying shares, investors should consider several factors.

• Firstly, investors should focus on the company’s consistent dividend payments and the steady growth in the dividend percentage.
• Secondly, investors should check the company’s debt and credit ratings.
• Thirdly, investors should analyze the company’s financial health, payout history, and future growth prospects.
• Fourthly, investors should monitor the dividend payment history and review year-over-year revenue and earnings growth.
• Fifthly, investors should evaluate the quality of the dividends by analyzing the dividend payout ratio, dividend coverage ratio, free cash flow to equity (FCFE), and net debt to earnings before interest taxes depreciation and amortization (EBITDA) ratio.

Finally, investors should do their own research and/or consult their financial advisor before investing. By considering these factors, investors can evaluate the performance of an Indian dividend-paying stock and make informed investment decisions.