Saturday, July 20, 2024
HomeNewsFinanceRVNL Shares Surge Nearly 19%, Hit All-Time High

RVNL Shares Surge Nearly 19%, Hit All-Time High

Shares of Rail Vikas Nigam Ltd (RVNL) continued their upward trajectory for the third consecutive session on Friday, soaring by 18.94% to reach an all-time high of ₹498.05

The stock closed 17.36% higher at ₹491.45, marking a 169.81% increase so far in 2024.

Strategic Partnerships and New Orders Drive Growth

The railway PSU has been bolstered by securing new orders and forming strategic partnerships. Recently, RVNL signed a Memorandum of Understanding (MoU) with Delhi Metro Rail Corporation Ltd (DMRC).

“RVNL has signed an MoU with Delhi Metro Rail Corporation Limited (DMRC) to participate in upcoming projects in India and abroad as a Project Service Provider for Metro, Railways, High Speed Rail, Highways, Mega Bridges, Tunnels, Institutional Buildings/Workshops or Depots, S&T works, and Railway Electrification,” the company stated in a stock exchange filing.

Recent Bids and Contracts

Prior to this, RVNL emerged as the lowest bidder for a Central Railway contract valued at ₹132.59 crore.

Technical Analysis and Expert Predictions

From a technical perspective, the stock has support at ₹470. “The counter appears strong on daily charts and could reach an upside target of ₹520 in the near term. Maintain a stop loss at ₹470,” advised Ravi Singh, Senior Vice-President (Retail Research) at Religare Broking.

Jigar S Patel, Senior Manager – Technical Research Analyst at Anand Rathi Shares and Stock Brokers, predicted a short-term trading range between ₹425 and ₹515.

RVNL’s Role and Government Stake

RVNL serves as the executing arm of Indian Railways, working on behalf of the ministry to implement assigned projects. Operating on a turnkey basis, the company handles the complete project development cycle, from conceptualization to commissioning, including design, estimate preparation, contract awards, and project management.

As of March 2024, the government held a 54.03% stake in RVNL.

Disclaimer

Disclaimer: The Courtroom provides stock market news for informational purposes only and should not be construed as investment advice. Readers are encouraged to consult with a qualified financial advisor before making any investment decisions.

Share your news, articles, deals, columns, or press releases with us! Click the link to submit and join our platform today.

RELATED ARTICLES

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Most Popular

Recent Comments