Hidden Tata Group Stock To Pay Highest Rs 25/Sh Dividend Soon; Turns Rs 9,000 To Rs 9 Lakh In Long Term

 Benares Hotels Ltd is a lesser-known Tata Group-backed company. Benares has no brokerage coverages and analysts' recommendation but is backed by Tata's hotels and tourism giant, Indian Hotels. Benares is in focus after it announced a dividend of as massive 250% which will be paid in the coming weeks.

Beneras is the most expensive Tata Group stock even when it is unpopular. Its share price is currently chasing for Rs 10,000 mark which will be its all-time high. But did you know, Benares has also turned Rs 9,000 investment 25 years ago, into nearly Rs 9 lakh corpus, giving over 9,400% returns? That has been the case, however, returns vary on the number of shares and investments you have made in Benares. {image- stocks1600-1713877633.jpg www.goodreturns.in}

On April 23, Benares shares halted their six consecutive days winning streak as investors booked profit. However, the downside was at a slower pace. On BSE, Benares share price ended at Rs 9215 apiece, down by 0.40% with a market cap of Rs 1,197.95 crore. 

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Benares shares have been on the bullish run from April 18th to 22nd, rising by at least 11.4% in this period. The stock's 52-week high and low are at Rs 10,051 and Rs 3,550 apiece respectively. 

Benares is currently up by 160% from its 1-year low, making it a multi-bagger smallcap stock in the hotel segment. In 5-years, Benares shares have zoomed by 488%. While its all-time gain is a whopping 9,400%. The stock was just Rs 97 on July 14, 1995. 

If an investor bought Benares shares for Rs 9,000, nearly three decades ago, they would receive yp 97.93 shares at Rs 97 apiece. These nearly 98 equity shares have seen 9,400% returns on their investment, becoming a corpus of Rs 8.55 lakh as of now. It's a small investment, which reaches greater heights

Going ahead, Benares will be rewarding shareholders with new dividends. The highest dividend payout to be precise!

 Benares has announced its highest dividend payout to the tune of 250% amounting to Rs 25 per share on 13,00,000 Equity Shares having face value of Rs 10 each. This is higher compared to 200% worth Rs 20 per share paid in FY23. The record, ex-dividend, and dividend payment date will be announced soon.

As per the Trendline data, Benares has delivered up to 22 dividends since August 2001. Post Covid-era, Benares' dividend payout was Rs 20 in 2023, Rs 10 in 2022, and Rs 7.50 per share in 2020. These dividends were "final" in nature.

The Indian Hotels subsidiary has reported strong growth in Q4 and full-year earnings. Q4FY24 PAT stood at Rs 11.6 crore versus Rs 7.6 crore in Q4FY23, while EBITDA surged to Rs 16.9 crore versus Rs 11.7 crore in Q4FY23, and revenue jumped to Rs 36.6 crore in Q4FY24 compared to Rs 28 crore in Q4FY23. 

For full-year FY24, the PAY was at Rs 36 crore versus Rs 23.4 crore, while EBITDA climbed to Rs 54.4 crore in FY24 versus Rs 37.7 crore in FY23. Lastly, FY24 revenue from operations jumped to Rs 123.8 crore versus Rs 94.8 crore in FY23. 

Dr Anant Narain Singh, Chairman, of Benares Hotels Limited (BHL) said, "BHL reported a year-on-year growth of 31% in total revenue crossing the milestone of hundred crores at INR 124 crores, a first in the company's history. This performance was led by a 27% growth in average room rates resulting in a record EBITDA margin of 44%, a year-on-year expansion of 400 basis points.

" Narain added, "The construction of the new tower wing at Taj Ganges with 100 additional rooms is well underway and is expected to be operational in October 2025.

" Benares Hotels Limited (BHL) is a listed public limited company incorporated in 1971. The Company operates its hotels, viz. Taj Ganges and Taj Nadesar Palace in Varanasi and Ginger, 

Gondia in Maharashtra. The Company became a subsidiary of The Indian Hotels Company Limited (IHCL) in 2011.