52-week high alert: This multibagger PSU stock signs MoU for railway infrastructure projects with RITES!

The shares of the company have gained about 45 per cent in the last six months.

Shares of Indian Railway Finance Corporation Limited made a fresh 52-week high of Rs 48.29 on Friday, gaining about 8 per cent. The stock is on a rally since the company has signed an MoU with RITES Limited to strengthen cooperation in the financing & development of Railway Infrastructure Projects.

The MoU aims for identifying mutual areas of collaboration for expanding IRFC’s role in providing financial assistance to projects and institutions that have got backward and forward linkages with railways by RITES providing assistance to IRFC in ascertaining the financial & technical viability of projects, providing advisory & consultancy services.

In FY23, the company reported a revenue of Rs 7,547.84 crore which grew by 3.46 per cent YoY. The operating profit of the company stood at Rs 23,798.28 crore, growing 17.94 per cent YoY while the PAT of the company grew by 4.06 per cent YoY staying at Rs 6,337.01 crore.

Indian Railway Finance Corporation borrows funds from the financial markets to finance the acquisition and creation of assets which are then leased out to the Indian Railways as finance leases.

On Friday, the stock opened at Rs 46.69, with a high and low of Rs 48.29 and Rs 44.45. The stock closed trading at Rs 45.14, up by 0.94 per cent over its previous close of Rs 44.72.

The shares of the company have gained about 110 per cent in the last one year and investors should keep a close eye on this stock.

Disclaimer: The article is for informational purposes only and not investment advice.