Chambal Fertilizers and Chemicals Limited (NSE: CHAMBLFERT) announced a final dividend of ₹6 per equity share for the financial year ended March 31, 2026, as recommended by its Board of Directors at a meeting held on May 14, 2026. This follows the interim dividend of ₹5 per share declared in November 2025, bringing the total FY26 payout to ₹11 per equity share, the highest annual distribution in at least four fiscal years.

Dividend Details and Yield

The ₹6 final dividend translates to a final dividend yield of approximately 1.40% on the current market price of ₹428. On a full-year basis, the combined FY26 payout of ₹11 per share represents a total dividend yield of approximately 2.57% at the current price. The stock closed at ₹428 on May 14, 2026, down ₹0.60 or 0.14% on the day of the announcement.

Year-on-Year Comparison

The FY26 total payout of ₹11 per share marks a 10% increase over the FY25 total of ₹10 per share, which comprised an interim dividend of ₹5 (November 2024) and a final dividend of ₹5 (May 2025). The final dividend component alone has grown from ₹5 in FY25 to ₹6 in FY26, a 20% increase year on year.

Dividend Trend Analysis

Chambal Fertilizers has maintained a consistent two-tranche dividend structure in recent years. The annual payout trend over the past four fiscal years is as follows:

The data shows a clear step-up beginning FY25, with cumulative payouts rising 46.7% from the ₹7.50 annual level maintained between FY22 and FY24.

Valuation and Market Context

At a price-to-earnings ratio of 9.65x, Chambal Fertilizers trades exactly at the sector PE of 9.65x within the NIFTY CHEMICALS index, indicating the stock is currently valued in line with its sectoral peers. The company carries a market capitalisation of ₹17,147.92 Cr and is a constituent of 16 NSE indices, including NIFTY 500, NIFTY SMALLCAP 100, and NIFTY CHEMICALS.

The stock is currently trading at ₹428, which is 38% below its 52-week high of ₹690.20 reached on May 13, 2025, but 7.1% above its 52-week low of ₹399.75 touched on March 16, 2026. This positioning near the lower end of the 52-week range may be relevant context for investors evaluating entry relative to dividend yield.

Delivery and Volume Data

On the day of the announcement, CHAMBLFERT recorded a trading volume of 5,24,915 shares with a delivery percentage of 50.14%. A delivery ratio above 50% generally indicates that a meaningful proportion of trades resulted in actual stock transfers rather than intraday squaring, pointing to sustained holding interest rather than purely speculative activity. The stock's daily volatility stands at 2.06%.

Company Background

Chambal Fertilizers and Chemicals Limited is one of India's largest private sector urea manufacturers, operating two urea plants in Gadepan, Rajasthan. The company also distributes a range of agri-inputs and has diversified interests in IT services through its subsidiary. Its financials for the period ended March 31, 2026 were submitted to the exchange on the same date as the dividend announcement.

The record date for the final dividend has not yet been announced. Shareholders will need to hold shares before the record date to be eligible for the ₹6 per share payout.