Andrew Yule - Tide Water

THE price of Tide water in 2009 was appx 2800-2900 and Andrew Yule was 16. Andrew Yule is supposedly having 26% equity in Tidewater. It receives crores of Rs. as dividend. These days Tide Water is around 16000 level which is almost five time its price in 2009, but Andrew Yule is still almost at the same level of 19-21. Can anyone throw some light on this? Thanks.

Raaz

 

Well according to moneycontrol, Andrew Yule is promoter of Tide Water oil so I am not sure if they would sell their holdings and distribute money to their shareholders. While that is out of question, when i saw promoter holding in moneycontrol as of Dec 14, Andrew Yule holds around 26.22% of shares in Tide water but the number of shares are 228,390. Now moneycontrol says that the dividend payout of tide water last year was around 3500% so around 350 rs a share. If you calculate 350*228390 you would approximately only get around 8 crore rupees. The current market cap of Andrew Yule is around is around 700 crore and even if Andrew Yule sells its holding of Tide water at cmp of tide water it would still get around 360-370 crores.
The eps of andrew is around 0.39 as shown in moneycontrol and is trading at a valuation of 54 times p/e. I think the price of dividend income is well priced in the stock as the dividend is only 8 crores and market cap of the company is already around 700 crores.

 

That was very informative Stockguru, and makes a lot of sense. Some vested interests are spreading info that AY received rs. 250 crs. as dividend! Thanks.

Raaz

 

I mean I don't know if that is true. I just looked up at moneycontrol and saw information from there. If data in moneycontrol has errors then my calculations could be wrong. You could check moneycontrol yourself and see last years dividend payout mentioned is 3500% and if you see promoter shareholding the number of shares are mentioned there. I didnt checked the bse website or any other sources, Honestly I just did a quick multiplication to see how much dividend they would have recieved