Railway stocks surged significantly in today’s trading session, with several setting new record highs. Leading the rally were companies like Rail Vikas Nigam (RVNL), IRCON International, RailTel Corporation, IRCTC, and IRFC, all witnessing gains of up to 18%.
RVNL shares soared by 18% to reach a fresh record high of ₹498.50 per share, driven by the company’s collaboration with Delhi Metro Rail Corporation for upcoming infrastructure projects both domestically and internationally. The projects span sectors including metro, railways, high-speed rail, highways, bridges, tunnels, institutional buildings, workshops, depots, S&T works, and railway electrification.
Earlier in June, RVNL secured a significant contract worth ₹1.32 billion from Central Railway for modifying overhead equipment in the Wardha-Ballarshah Section, contributing to its strong performance this year with a return of 173%.
Similarly, IRCON International’s shares surged 13% to hit an all-time high of ₹316 apiece. This increase followed the company’s joint venture securing a ₹750 crore order from Rail Vikas Nigam for designing, supplying, installing, testing, and commissioning a broad gauge ballastless track and providing ballast along a 125 km stretch between Rishikesh and Karanprayag in Uttarakhand. IRCON has delivered an impressive return of 82% in 2024.
RailTel Corporation also saw a 10% jump, reaching a new peak of ₹534.40 per share, buoyed by securing multiple orders, including a recent ₹23.96 crore contract from Webel Technology. Year-to-date, RailTel has delivered a return of 56%.
Indian Railway Finance Corporation (IRFC) witnessed a 7% rise to ₹191.70 per share, supporting Indian Railways’ infrastructure development plans by serving as a key financing arm.
Meanwhile, IRCTC’s shares rose by 2% to ₹1,034 each, benefiting from its status as the sole entity authorized by the Indian government to provide online railway tickets, catering services, and packaged drinking water on trains and at railway stations nationwide.
The surge in railway stocks reflects growing investor optimism driven by significant infrastructure projects and government initiatives in the sector, signaling robust growth opportunities ahead.
