President of India’s portfolio gains Rs 401,85,95,81,432 from this multibagger railway wagons stock with Rs 70,000 crore order book; scrip hit upper circuit & 52-week high!

The stock gave multibagger returns of 330 per cent in just 1 year and a whopping 950 per cent in 3 years.

The stock market was opened from 9 am to 3:30 pm on Saturday, January 20, 2024 and will remain shut on Monday. The decision has come ahead of the Ram Mandir ‘Pran Pratishtha’ ceremony in Ayodhya on Monday, January 22, 2024

Today, the stock market ended the day in the red with the BSE Sensex Index down 0.36 per cent at a level of 71,423.65 with an intraday high of 72,026.26 and an intraday low of 71,312.71. On the broader front, the indices were in green with BSE Mid-Cap Index up by 0.46 per cent and BSE Small-Cap Index up 0.41 per cent.

As the market was trading mixed today, one multibagger railway wagon stock was locked in a 10 per cent upper circuit to Rs 320.75 per share from its previous closing of Rs 291.60. The stock also made a fresh new 52-week high of Rs 320.75 per share.

From Rs 56.15 per share (52-week low on March 01, 2023) to Rs 320.75 per share (52-week high on January 20, 2023), the stock gave multibagger returns of 471.24 per cent or Rs 264.6 per share.

The President of India’s portfolio owns 1,51,87,43,694 shares or 72.84 per cent stake in the company after the adjustment of 5.36 per cent offer for sale (OFS) of shares in the open market to retail and non-retail investors.

Therefore, the President of India’s portfolio gains: 1,51,87,43,694 shares x Rs 264.6 per share = Rs 401,85,95,81,432 in less than 1 year from this multibagger railway wagons stock.

The champion stock name is Rail Vikas Nigam Ltd (RVNL).

Rail Vikas Nigam Ltd, a Navratna company was established in 2003 by the Government of India for various rail infrastructure projects. The company has delivered good profit growth of 20.30 per cent CAGR over the last 5 years and has been maintaining a healthy dividend payout of 33 per cent. As of September 30, 2023, RVNL has a strong order book of over Rs. 70,000 crores, focusing on railway, metro, and overseas projects.

Rail Vikas Nigam Ltd (RVNL) is expanding its reach into renewable energy and international railway projects through a joint venture with Jakson Green Private Limited (JGPL) for solar power ventures in India and abroad, and a subsidiary named RVNL INFRA SOUTH AFRICA for railway projects in South Africa. The joint venture, JGPL-RVNL EPC Private Limited, will be majority-owned by JGPL (51 per cent) with RVNL holding the remaining 49 per cent stake.

Earlier, the company emerges as the L1 bidder for an order worth Rs 251,05,48,956 from M.P. Madhya Kshetra Vidyut Vitaran Co Ltd. The order includes supply, Installation, testing and commissioning of 11 KV Line associated works such as 11 KV Line bifurcation, 11 KV line interconnection, 11 KV line conductor augmentation, LT AB cabling augmentation and conversion of LT bare conductor to AB cabling under revamped reforms-based and results-linked, distribution sector (Package-11) in Jabalpur (City), Jabalpur (O&M), Katni, Mandla, Dindori, Seoni, Chhindwara, Narsinghpur, Balaghat, Shahdol, Anuppur and Umariya Circles of MPPKVVCL, Jabalpur Company area.

The shares of the company have an ROE of 21 per cent and an ROCE of 18 per cent. The stock gave multibagger returns of 330 per cent in just 1 year and a whopping 950 per cent in 3 years. Investors should keep an eye on this railway stock.

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