Multibagger zooms more than 22 per cent in just 2 days after G20 sparks excitement: do you own it?
The stock has given multibagger returns of over 787 per cent in the last 3 years.
In recent days, railway stocks have experienced a significant and noticeable vertical surge, and this trend is also evident in the case of the Rail Vikas Nigam Limited.
In monday deals, the shares of Rail Vikas Nigam Limited sparked investors eyes. The stock was in the spotlight as zoomed 16.40 per cent. Additionally, the stock hits fresh 52-week high mark of Rs 192 apiece on BSE. Furthermore, the scrip witnessed a spurt in volume by more than 2.39 times.
The surge in rail stocks can be primarily attributed to the announcements made during the G20 summit. Let's take a closer look:
During the G20 summit held in New Delhi, Prime Minister Narendra Modi revealed the India Middle East Europe Economic Corridor (IMEC) in collaboration with signatory nations including Italy, France, Germany, UAE, Saudi Arabia, and India. IMEC encompasses two distinct corridors: the eastern corridor connecting India to the Arabian Gulf and the northern corridor linking the Arabian Gulf to Europe.
This ambitious project involves the establishment of a railway line designed to create a cross-border ship-to-rail transit network. It aims to complement existing maritime and road transportation routes, facilitating the movement of goods and services between India, UAE, Saudi Arabia, Israel, and Europe. Furthermore, participants intend to lay cables for electricity and digital connectivity, along with pipelines for clean hydrogen export.
It's important to note that while these announcements have been made, no specific contracts have been awarded to any companies for the implementation of this corridor at this stage.
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Rail Vikas Nigam Ltd, founded in 2003 by the Indian government, handles various railway infrastructure projects assigned by the Ministry of Railways, including doubling, gauge conversion, new lines, electrification, bridges, workshops, and revenue sharing through concession agreements.
Additionally, the company has proven to be a true multibagger stock, delivering remarkable returns of over 100 per cent.
Rail Vikas Nigam perfectly aligns with this definition, witnessing substantial buying activity and experiencing a surge of over 787 per cent in the past one year.
Disclaimer: The article is for informational purposes only and not investment advice.