LIC bought 1,63,12,399 shares & Rs 85,000 crore order book: Multibagger railway infra stock jumps 4.16 per cent in just 1 day; Do you own it?
The stock gave multibagger returns of 355 per cent in just 1 year and a whopping 2,300 per cent in 5 years.
On Wednesday, shares of Rail Vikas Nigam Ltd (RVNL) gained 4.16 per cent to an intraday high of Rs 568.75 per share from its previous closing of Rs 546.05. The stock’s 52-week high is Rs 647 while its 52-week low is Rs 119.75. At the closing bell, shares of the company were trading at Rs 565.85 per share, up 3.63 per cent with 15,35,207 shares quantity traded on BSE.
Rail Vikas Nigam Limited (RVNL) has secured a domestic contract valued at Rs 739.07 crore from Himachal Pradesh State Electricity Board Limited (HPSEBL) to develop distribution infrastructure in the Central Zone of Himachal Pradesh. The project, awarded under the Revamped Reforms-based and Results-linked Distribution Sector Scheme for loss reduction, spans 24 months and involves the implementation of works outlined in tender number CE(MM)/RDSS-(P-1.1)/Central Zone, subject to the terms and conditions of the general contract.
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 21 per cent CAGR over the last 5 years and has been maintaining a healthy dividend payout of 33.4 per cent. As of March 31, 2023, RVNL has a strong order book of over Rs 85,000 crores, focusing on railway, metro, and overseas projects.
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According to Quarterly Results, the net sales increased by 17.4 per cent to Rs 6,714.01 crore and net sales increased by 27.5 per cent to Rs 435.34 crore in Q4FY24 compared to Q4FY23. In its annual results, the net sales increased by 8 per cent to Rs 21,889.23 crore and net sales increased by 16.5 per cent to Rs 1,469.53 crore in FY24 compared to FY23. The company has a market cap of Rs 1,17,981 crore and the shares of the company have an ROE of 20 per cent and an ROCE of 19 per cent.
Life Insurance Corporation of India (LIC) bought 1,63,12,399 shares and increased their stake to 6.44 per cent in June 2024 compared to June 2023. In June 2024, FIIs increased their stake to 3.13 per cent and DIIs increased their stake to 6.77 per cent compared to March 2024. The stock gave multibagger returns of 355 per cent in just 1 year and a whopping 2,300 per cent in 5 years. Investors should keep an eye on this railway infra stock.
Disclaimer: The article is for informational purposes only and not investment advice.
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