Paramount Insurance announces cash dividend after 3 years
Paramount Insurance's stock price a lot more than doubled within the last twelve months but its lower dividend disheartened stock investors.
The insurer, which got listed in 2007, yesterday announced 2 % stock and 2 % cash dividend because of its shareholders for the 2019 financial year. In the previous year, the business provided only 5 % stock dividend.
Every non-life insurance must have Tk 40 crore of paid-up capital as per the Insurance Act 2010. At the moment, its paid-up capital is Tk 33.22 crore. So, it's been giving stock dividend yearly since 2005 save for 2016, when it announced 2 per cent cash dividend.
Market analysts said the business's earnings per share rose to Tk 1.17, which was Tk 0.52 in the last year.
As the insurance companies' shares were on a rising trend this past year, some insurers' stocks rose for just about any good reason.
In 2019, Paramount Insurance's stocks soared 115.7 % to Tk 37.
During this time, the business itself alert stock investors that there was no undisclosed price sensitive information that could make clear the abnormal rise in its price.
However, regardless of the alert, Paramount Insurance's stock kept sailing.
The business's net operating cashflow per share is Tk 0.51.
Established in November 1999, the insurer is a subsidiary of Paramount Group. Its shares closed at Tk 37.10 yesterday, up 3.34 per cent from the prior day.
