Dividend Stock Alert: Bulls lift this stock—should you hold or book gains?

Dividend Stock Alert: Bulls lift this stock—should you hold or book gains?

Akzo Nobel India, the global paints and coatings major, saw its shares rally nearly 4 per cent intraday on Monday, August 4, 2025, after the company’s board announced a special interim dividend of Rs 156 per share. The payout was declared alongside the company’s Q1 FY26 results, triggering strong buying interest among dividend-seeking investors.

At Rs 156 per share, this one-time dividend makes Akzo Nobel one of the most generous dividend-paying companies in the current earnings season.

Dividend Announcement

The company informed the exchanges that the record date for the special dividend has been fixed as Monday, August 11, 2025. Eligible shareholders will receive the dividend within 30 days from the date of declaration, i.e., by September 3, 2025“Declared a one-time Special Interim Dividend of Rs. 156 per equity share for FY26 out of the retained earnings of the company as on June 30, 2025,” the company said in its BSE filing.

Akzo Nobel Q1 FY26 earnings

Despite the generous payout, Akzo Nobel India reported a 22.7 per cent decline in net profit for Q1FY26.

While the Q1 performance disappointed on the earnings front, the special dividend issue boosted sentiment, reflecting the company’s confidence in its long-term financial stability and strong retained earnings position.

Akzo Nobel share price performance 

  • Stock jumped to an intraday high of Rs 3,779.80, up nearly 4 per cent.

  • Last traded price stood at Rs 3,727.80, up 2.49 per cent from the previous close of Rs 3,637.20.

  • Market capitalisation was recorded at Rs 16,963.77 crore.

Akzo Nobel shares have delivered a 20.57 per cent return over the past year and gained nearly 8 per cent in the last one month. On a year-to-date (YTD) basis, the stock is up 4.28 per cent.

Over the last five years, Akzo Nobel India has rewarded long-term shareholders handsomely with a 94.02 per cent return. The stock hit its 52-week high of Rs 4,649 on October 9, 2024, and a 52-week low of Rs 3,009.50 on August 5, 2024.

Akzo Nobel continues to maintain a strong presence in India and operates in over 150 countries globally. The company is ranked as the fourth-largest paint manufacturer in the Indian market, according to industry estimates.

Market Outlook

Even as profit dipped in the June quarter, analysts say the Rs 156 per share special dividend reflects robust cash flows and prudent capital allocation. The stock remains in focus for income-seeking investors, especially those eyeing quality dividend-paying companies in the FMCG and consumer durables segments.

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