11 April, 2023

The Multibagger Stock : HDFC bank : The Other Side of the coin


Stock split history 
14.07.2011 - split -1 : 5 = 5
19.09.2019-split - 1 :2 = 10
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total = 10 shares

2011-12 - EPS- Rs.8.58 ,Div payout -Rs.4.30/- face value-=2
2019-20 EPS -49.87/- div pay out -Rs.2.50/- face value-1



stock price @ 2011 -12 = Rs.250 (split adjusted) 
Div @ 2021-22 = Rs.15.5

So if u would had hold HDFC bank stock since FY 2011-12 ,then your current dividend yield would have been as follows 
current dividend yield on your past purchase price of Rs.250/-   = (Rs.15.5 / Rs.250) * 100= 6.2%

In other words its not beating inflation in India which is 10%

Analysis :
1.So if you would have invested in HDFC bank 14 years back,the only way you would have made money is by selling your shares ....not by holding it
2.The only way you can make money is by PE expansion not by earnings expansion.


Ex Date

Jul 14, 2011

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