President of India’s portfolio gains Rs 1403,51,39,810 from these multibagger civil construction stocks in just 1 day; do you have any?

The companies have a combined order book of Rs 38,700 crore.

The benchmark indices ended Friday’s trading session in the red, BSE Sensex Index down 0.19 per cent at 66,282.74. On the same day, the market capitalization of BSE-listed companies amounts to Rs 3,22,00,725 crore, accompanied by 279 stocks hitting a 52-week high and 23 stocks reaching a 52-week low. 

Though the market was in red, these two multibagger civil construction stocks were trading in green due to a huge announcement made by the Ministry of Railways (Railway Board). Here are the details:

Before we reveal the stock name and the announcement let's see how The President of India made Rs 1403,51,39,810 in just 1 day.

The President has a majority stake in these companies. In company one, the President owns 68,83,01,650 shares or 73.2 per cent of the company, and in another company, the President owns 17,35,04,733 shares or 72.2 per cent of the company.

It’s time to reveal the stock names: -

1) IRCON International Ltd.

2) Rites Ltd.

On Friday, shares of IRCON International Ltd surged 13.90 points or 10.23 per cent to Rs 149.75 per share while shares of Rites Ltd gained 25.75 points or 5.44 per cent to Rs 499.20 per share.

From IRCON International Ltd, The President gained Rs 956,73,92,935 (i.e., 68,83,01,650 shares x Rs 13.9) and from Rites Ltd, gained Rs 446,77,46,875 (i.e., 17,35,04,733 shares x Rs 25.75).

The Ministry of Railways (Railway Board) announced that both companies had been granted Navratna Status which was the main reason for the sudden rise in the stock price.

IRCON International Limited provides infrastructure construction services. The Company constructs roads, highways, bridges, airports, runways, mass rapid transit systems, and commercial buildings. The company has a market cap of Rs 14,000 crore and its order book is over Rs 33,000 crore. The stock gave multibagger returns of 150 per cent in 5 months and 250 per cent returns in 1 year.

RITES Limited provides engineering services. The company offers transport infrastructure consultancy, railway inspection, rolling stock leasing and maintenance, airport construction management, industrial and electrical engineering, and other related services. The company has a market cap of Rs 12,000 crore and its order book is over Rs 5,700 crore. The stock gave multibagger returns of 110 per cent in 2 years.

Do you own any of these stocks in your portfolio?

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