Strides Pharma Science Limited (NSE: STAR) has recommended a final dividend of ₹5 per equity share for FY2025-26, as approved by its Board of Directors at a meeting held on May 18, 2026. The outcome of that board meeting was formally communicated to the exchange on May 20, 2026. The dividend, subject to shareholder approval, marks a 25% increase over the ₹4 per share paid in FY2024-25.

Dividend Details and Yield

Based on STAR's last traded price of ₹1,145 on the NSE, the declared dividend translates to a dividend yield of approximately 0.44%. While modest in yield terms, the absolute payout has grown sharply over the past four years, reinforcing the company's consistent capital return posture to shareholders.

Four-Year Dividend Growth Trajectory

The dividend history for Strides Pharma reveals a clear and uninterrupted upward trend since FY2022-23:

This trajectory represents a 233% increase in dividend per share over the past three years. Prior to this growth phase, the company had paid ₹2.50 in FY2021 and ₹2.00 in FY2020, with a notably higher interim dividend of ₹12.00 declared in July 2019, which was an outlier likely linked to specific corporate events at the time.

Valuation and Sector Context

STAR currently trades at a price-to-earnings (PE) ratio of 18.52, a slight premium to its sector PE of 17.79. This premium, while narrow, suggests the market is pricing in modest growth expectations relative to the broader pharmaceutical sector. The stock is a constituent of the NIFTY MICROCAP 250, NIFTY SMALLCAP 500, and NIFTY TOTAL MARKET indices.

Market and Price Context

STAR's 52-week range stands at a low of ₹654.40 recorded on May 15, 2025, and a high of ₹1,231 reached on May 12, 2026. The stock's current price of ₹1,145 is approximately 75% above its 52-week low and about 7% below its 52-week high, indicating a strong recovery over the past year. The stock declined 0.75% on May 20, 2026, closing at ₹1,145 against the previous close.

Trading Activity and Delivery Data

On the announcement date, STAR recorded a trading volume of 5,83,379 shares. The delivery percentage stood at 31.22%, suggesting that a significant portion of the day's volume was speculative or intraday in nature, as delivery-based trades typically signal stronger long-term conviction among buyers. Daily volatility is reported at 2.6%, consistent with a smallcap pharmaceutical counter. The company's market capitalisation stands at ₹10,553.78 Cr.

Company Background

Strides Pharma Science Limited is a Bengaluru-based specialty pharmaceutical company with a focus on regulated markets, including the United States, Europe, and Australia. The company manufactures and markets a broad range of dosage forms and has historically pursued both organic growth and strategic acquisitions to expand its global footprint.

Investors tracking STAR for income or dividend growth will note that the consistent annual increase in per-share payouts since FY2023 aligns with an improving earnings profile. The formal record date and payment schedule for the FY26 final dividend are yet to be announced and are contingent on shareholder approval at the upcoming Annual General Meeting.