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Top Indian (NIFTY) Food, Beverage & Tobacco Dividend Stocks
UPDATED Aug 09, 2022
What are the best Indian (NIFTY) Food, Beverage & Tobacco Dividend Stocks?
According to our Simply Wall St analysis these are the best Indian Food, Beverage & Tobacco dividend companies. We look for companies with high quality dividends and healthy balance sheets to find the top Dividend Stocks.
Our criteria to find Top Dividend Companies
High Yield
- Companies with a high dividend yield are more attractive due to the higher expected income for each dollar invested.
- Yields vary between markets, so we focus on the top dividend payers in each market.
What do we look for?
- Is the yield in the top 25% of the market's dividend payers.
Consistent Dividends
- Companies with a strong track record of paying a consistent and growing dividend are the most attractive.
- If the dividend has been cut substantially in the past, then it's difficult to be confident about future payments.
What do we look for?
- Has the dividend been stable over the last 10 years.
- Has the dividend grown over the last 10 years.
Dividend Cover
- Ideally the company doesn't pay out all of its earnings, neglecting future growth.
- If a company is unable to afford its dividend, then it will probably lead to a dividend cut and share price erosion.
What do we look for?
- Are dividends covered by earnings.
- Are dividends forecast to be covered by earnings in the future.
Healthy Balance Sheet
- Investors want to make sure the company is positioned to cover its debts. Repayments on debt typically take priority over shareholder return initiatives.
What do we look for?
- Does the company have a manageable level of debt.
- Is the company able to cover its interest repayments.
5 companies meet this criteria in the Indian market
Heritage Foods Limited procures and processes milk and milk products in India.
Dividend Criteria
Stable Dividend
Earnings Coverage
Growing Dividend
Future Dividend Coverage
Notable Dividend
High Dividend: HERITGFOOD's dividend (1.67%) is low compared to the top 25% of dividend payers in the Indian market (1.71%).
Rewards
Price-To-Earnings ratio (18.8x) is below the Indian market (21.4x)
Earnings are forecast to grow 28.62% per year
Risks
No risks detected for HERITGFOOD from our risks checks.
Avadh Sugar & Energy Limited manufactures and sells sugar, molasses, bagasse, and press-mud in India.
Dividend Criteria
Earnings Coverage
High Dividend: 540649's dividend (1.94%) is in the top 25% of dividend payers in the Indian market (1.71%)
Notable Dividend
Future Dividend Coverage
Growing Dividend
Stable Dividend
Rewards
Trading at 76.3% below our estimate of its fair value
Earnings are forecast to grow 32.77% per year
Earnings grew by 44.7% over the past year
Risks
Has a high level of debt
LT Foods Limited engages in the milling, processing, marketing, storage, packing, and distribution of branded and non-branded basmati rice, and rice food products in India.
Dividend Criteria
Earnings Coverage
Growing Dividend
Notable Dividend
High Dividend: 532783's dividend (1.14%) is low compared to the top 25% of dividend payers in the Indian market (1.71%).
Future Dividend Coverage
Stable Dividend
Rewards
Trading at 66.9% below our estimate of its fair value
Earnings are forecast to grow 22.85% per year
Earnings grew by 15.5% over the past year
Risks
Has a high level of debt
Dhampur Sugar Mills Limited, together with its subsidiaries, operates as an integrated sugarcane processing company in India.
Dividend Criteria
Earnings Coverage
Growing Dividend
High Dividend: 500119's dividend (2.71%) is in the top 25% of dividend payers in the Indian market (1.71%)
Notable Dividend
Future Dividend Coverage
Stable Dividend
Rewards
Trading at 82.6% below our estimate of its fair value
Earnings are forecast to grow 39.4% per year
Risks
Debt is not well covered by operating cash flow
Volatile share price over the past 3 months
Triveni Engineering & Industries Limited engages in the sugar and engineering businesses in India and internationally.
Dividend Criteria
Earnings Coverage
Growing Dividend
High Dividend: 532356's dividend (1.83%) is in the top 25% of dividend payers in the Indian market (1.71%)
Notable Dividend
Future Dividend Coverage
Stable Dividend
Rewards
Trading at 10.2% below our estimate of its fair value
Earnings are forecast to grow 21.47% per year
Earnings grew by 31.4% over the past year
Risks
Debt is not well covered by operating cash flow
Volatile share price over the past 3 months