High Dividend Yield Fertilizer Stocks under Rs 500

The table below shows the high dividend yield fertilizer stocks under Rs 500 based on the Highest Market Capitalization.

What Are The High Dividend Yield Fertilizer Stocks under Rs 500?

High dividend yield fertilizer stocks under Rs 500 refer to companies in the fertilizer industry with share prices below Rs 500 that offer relatively high dividend payouts compared to their stock price. These stocks are attractive to investors seeking steady income through dividends while investing in the agricultural sector, which is crucial for food production and has a consistent demand.  

Features Of High Dividend Yield Fertilizer Stocks under Rs 500

The main feature of high dividend yield fertilizer stocks under Rs 500 is their ability to provide consistent dividend income while remaining affordable, making them attractive to a broad range of investors, particularly those interested in the agricultural sector.

1. Affordable Investment: These stocks are priced under Rs 500, making them accessible to both small and retail investors who seek exposure to the agricultural sector without a significant capital outlay.
2. High Dividend Returns: Fertilizer stocks in this category often offer attractive dividend yields, ensuring a steady income stream for investors, particularly beneficial during market uncertainties.
3. Agricultural Demand Stability: The consistent demand for fertilizers due to ongoing agricultural activities supports the stability of these companies, allowing them to maintain and often increase their dividend payouts.
4. Growth Potential: While providing high dividends, these stocks may also have growth potential, especially in emerging markets where agricultural expansion is prominent.
5. Low Economic Sensitivity: Fertilizer stocks tend to be less sensitive to economic downturns since agriculture remains a priority sector, helping these companies sustain dividends even during challenging economic times.

Best High Dividend Yield Fertilizer Stocks under Rs 500

The table below shows the best high dividend yield fertilizer stocks under Rs 500 based on the highest day Volume.

Top High Dividend Yield Fertilizer Stocks under Rs 500 in India

The table below shows the top high dividend yield fertilizer stocks under Rs 500 in India based on 1-Year Return. 

Factors To Consider When Investing In High Dividend Yield Fertilizer Stocks under Rs 500

The factors to consider when investing in high dividend yield fertilizer stocks include the company’s financial health, as this reflects its ability to consistently pay dividends and maintain profitability over the long term.

1. Industry Position: Analyze the company’s market position within the fertilizer industry to assess its competitive advantage, which can influence its ability to sustain and grow dividends.
2. Dividend History: Evaluate the company’s historical dividend payout record to ensure a consistent and reliable income stream, reflecting management’s commitment to rewarding shareholders.
3. Valuation: Assess the stock’s price-to-earnings ratio to determine if the stock is undervalued or overvalued, ensuring you invest at a reasonable price for potential returns.
4. Economic and Regulatory Factors: Consider economic trends and government policies affecting the fertilizer sector, as these can impact company profitability and dividend payout capacity.
5. Debt Levels: Examine the company’s debt-to-equity ratio to ensure it is not over-leveraged, as high debt levels can affect the sustainability of dividend payments during economic downturns.

How To Invest In High Dividend Yield Fertilizer Stocks under Rs 500?

To invest in high dividend yield fertilizer stocks under Rs 500, start by researching and identifying companies with strong financials and a history of consistent dividends. Open a trading account with a reliable brokerage like Alice Blue, which offers a seamless online account opening process.

Advantages Of Investing In High Dividend Yield Fertilizer Stocks under Rs 500

The primary advantage of investing in high dividend yield fertilizer stocks under Rs 500 is the potential for steady income through dividends, even during market volatility, ensuring a reliable return on investment.

1. Affordability: These stocks are accessible to a broader range of investors due to their lower price, allowing more investors to diversify their portfolios without a significant initial investment.
2. Growth Potential: Investing in low-cost fertilizer stocks with high dividend yields offers the opportunity for capital appreciation along with regular income, maximizing total returns.
3. Sector Stability: The fertilizer industry is essential to agriculture, providing a level of stability and demand, which can result in consistent performance and dividend payouts.
4. Regular Income: High dividend yields offer a regular income stream, which can be particularly attractive for retirees or conservative investors seeking steady cash flow.
5. Inflation Hedge: Dividend-paying stocks can serve as a hedge against inflation, as companies may increase dividends over time, preserving purchasing power for investors.

Risks Of Investing In High Dividend Yield Fertilizer Stocks under Rs 500

The main risk of investing in high dividend yield fertilizer stocks under Rs 500 is the potential for price volatility due to the stock’s lower market capitalization, which can lead to significant fluctuations in investment value.

1. Dividend Cuts: Companies may reduce or suspend dividends during economic downturns or financial strain, leading to a loss of expected income for investors relying on these payouts.
2. Industry Risks: The fertilizer industry is subject to fluctuations in commodity prices, government regulations, and environmental factors, all of which can affect profitability and dividend sustainability.
3. Market Sentiment: Being in a lower price range, these stocks are often more sensitive to market sentiment, which can cause sharp price declines even on minor negative news.
4. Liquidity Issues: Low-priced stocks may have lower trading volumes, making it difficult to sell large holdings without significantly impacting the stock price.
5. High Debt Levels: Companies with high dividend yields may have significant debt, posing a risk if earnings decline, as servicing debt can take priority over dividend payments.

Introduction to High Dividend Yield Fertilizer Stocks under Rs 500

Chambal Fertilisers and Chemicals Ltd

The Market Cap of Chambal Fertilisers and Chemicals Ltd is Rs. 21052.27 crore. The stock’s monthly return is 1.24%. Its one-year return is 81.88%. The stock is 15.35% away from its 52-week high.

Chambal Fertilisers and Chemicals Limited, based in India, operates three urea production plants in Gadepan, Kota district, Rajasthan. 

The company also markets a variety of fertilizers and agri-inputs, including di-ammonium phosphate (DAP), muriate of potash (MOP), ammonium phosphate sulphate (APS), various nitrogen, phosphorus, and potassium (NPK) fertilizers, sulfur, micronutrients, and agrochemicals. Its crop protection products encompass insecticides, fungicides, and herbicides.  

Rashtriya Chemicals and Fertilizers Ltd

The Market Cap of Rashtriya Chemicals and Fertilizers Ltd is Rs. 11,686.96 crore. The stock’s monthly return is 4.38%. Its one-year return is 69.50%. The stock is 24.66% away from its 52-week high.

Rashtriya Chemicals and Fertilizers Limited, an India-based company, specializes in the manufacturing of fertilizers and chemicals. 

The company produces a variety of products such as Urea, Complex Fertilizers, Bio-fertilizers, Micro-nutrients, water-soluble fertilizers, soil conditioners, and various Industrial Chemicals. It operates through three main segments: Fertilizers, Industrial Chemicals, and Trading. The Fertilizers segment focuses on producing and supplying different grades of fertilizers for agricultural purposes.  

Gujarat State Fertilizers & Chemicals Ltd

The Market Cap of Gujarat State Fertilizers & Chemicals Ltd is Rs. 9439.93 crores. The stock’s monthly return is -2.99%. Its one-year return is 40.63%. The stock is 44.94% away from its 52-week high.

Gujarat State Fertilizers & Chemicals Limited is an Indian company that manufactures fertilizers and chemicals. The company is divided into two main segments: Fertilizer Products and Industrial Products. 

The Fertilizer Products segment offers a variety of products including urea, ammonium sulphate, di-ammonium phosphate, and various types of NPK fertilizers. The Industrial Products segment includes products such as caprolactam, nylon-6, melamine, and methanol.  

Paradeep Phosphates Ltd

The Market Cap of Paradeep Phosphates Ltd is Rs. 7176.57 crore. The stock’s monthly return is 4.06%. Its one-year return is 26.06%. The stock is 18.84% away from its 52-week high.

Paradeep Phosphates Ltd. is an Indian company that specializes in the manufacture of phosphatic fertilizers. 

The company is involved in the production, distribution, trading, and sales of a wide range of complex fertilizers, including Diammonium Phosphate (DAP), various grades of nitrogen, phosphorus, and potassium (NPK), Zypmite, Phospho-gypsum, Sulphuric Acid, Ammonia, and Phosphoric Acid.  

Rallis India Ltd

The Market Cap of Rallis India Ltd is Rs. 6604.16 crores. The stock’s monthly return is 0.41%. Its one-year return is 55.33%. The stock is 7.03% away from its 52-week high.

Rallis India Limited is an Indian company primarily specializing in the manufacturing and marketing of agricultural inputs. The company is involved in the production, distribution, sales, and marketing of various crop protection products and field crops. 

Their range of agri-inputs includes crop protection products, plant growth nutrients, organic compost, and seed processing, offered under the Rallis Samrudh Krishi (RSK) initiative. Rallis India’s business operations cover domestic crop protection, international trade, contract manufacturing, seed processing, plant growth nutrients, and agricultural services.  

Southern Petrochemical Industries Corporation Ltd

The Market Cap of Southern Petrochemical Industries Corporation Ltd is Rs 1689.81 crore. The stock’s monthly return is -1.74%. Its one-year return is 17.54%. The stock is 38.26% away from its 52-week high.

Southern Petrochemical Industries Corporation Limited, an India-based fertilizer manufacturer, specializes in producing and selling urea, a nitrogen-based chemical fertilizer. 

The company operates its manufacturing plant in Tuticorin and offers a diverse range of products including primary nutrients, secondary nutrients, micronutrients, water-soluble fertilizers, organic fertilizers, non-edible de-oiled cake fertilizers, bio-fertilizers, organic pesticides, plant growth regulators, plant biostimulants, and industrial products.   

Mangalore Chemicals and Fertilisers Ltd

The Market Cap of Mangalore Chemicals and Fertilisers Ltd is Rs. 1597.58 crore. The stock’s monthly return is 5.80%. Its one-year return is 23.40%. The stock is 19.17% away from its 52-week high.

Mangalore Chemicals and Fertilisers Limited, an India-based company, is primarily involved in the manufacturing, purchasing, and selling of fertilizers. The company operates a manufacturing facility in India where it produces both Nitrogenous and Phosphatic fertilizers. 

The products offered by the company include fertilizers, plant nutrition products, and various other items. Plant nutrition products include Soil Conditioners, Organic Products, Micronutrients, Specialty Agri Products, Water Soluble Fertilizers, Crop Specific Soil Products, and Wetting and Spreading Agents.  

Uniphos Enterprises Ltd

The Market Cap of Uniphos Enterprises Ltd is Rs. 1132.83 crores. The stock’s monthly return is -6.21%. Its one-year return is -8.76%. The stock is 13.44% away from its 52-week high.

Uniphos Enterprises Limited, an Indian company, specializes in the trading of chemicals and various products with a primary focus on ethylenediamine. Additionally, the company operates as a core investment company (CIC), with its main financial assets comprising investments in listed securities.

Top High Dividend Yield Fertilizer Stocks under Rs 500 – FAQs

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Disclaimer: The above article is written for educational purposes, and the companies’ data mentioned in the article may change with respect to time The securities quoted are exemplary and are not recommendatory.