On July 22, UltraTech Cement (₹11,846) announced an interim dividend of ₹240. The face value per equity share is ₹10. The dividend will lead to necessary adjustments in the futures and options (F&O) contracts on this stock on the record date.

The company has decided July 30 as the record/effective date. On this day, the stock price and all derivatives contracts on UltraTech Cement will be adjusted appropriately.

With respect to adjustment in futures contracts, the reference rate of the relevant contract on July 29 will be considered. Reference rate will be the mark-to-market settlement price of the relevant futures contract. So, the open positions shall be carried forward to July 30 at the daily settlement price on July 29 minus ₹240, the dividend amount.

Suppose the July expiry futures closes at ₹11,900 on July 29, it will be revised to ₹11,660 (₹11,900 minus ₹240). Hence, the contract value will come down.

Likewise, in options, all the strike prices in the option chain of UltraTech Cement will be subtracted by ₹240 from July 30. For example, the strike price of 11,900 and 12,000 will be modified to 11,660 and 11,760 respectively.

The above measures are not likely to impact the overall trend of this stock. So, traders can stick to their views and are only required to note the changes in the contracts that they hold.

Published on July 25, 2026