Rs 17,800 crore order book & FIIs increase stake: This civil construction company bags new order worth Rs 1,174 crore from MPRDC!

The stock is up by 59 per cent from its 52-week low of Rs 261.15 per share and generated multibagger returns of over 120 per cent in 3 years.

PNC Infratech Ltd announced that the company has bagged an order from Madhya Pradesh Road Development Corporation (MPRDC). The order includes the construction of the Western Bhopal Bypass as a 4-lane with paved shoulders along with a service road starting from Jabalpur-Bhopal Road (NH-46) and ending at Bhopal-Dewas Road (SH-28) with a design length of 40.90 km in the State of Madhya Pradesh on hybrid annuity mode (HAM). The order is worth Rs 1,174 crore and will be constructed within 24 months and an operation period of 15 years post-construction.

Additionally, PNC Infratech and its subsidiary sold 12 road projects spanning four states to Highways Infrastructure Trust for Rs 9,005.7 crore, freeing up capital to pursue the Indian government's ambitious infrastructure goals. This strategically significant deal signifies PNC's shift towards new growth opportunities in the road sector.

PNC Infratech Limited is one of the front-ending infrastructure projects, including highways, bridges, flyovers, power transmission lines and towers, airport runways, industrial area development, and other infrastructure activities.

The company has a market cap of over Rs 10,000 crore. As of September 30, 2023, the company has a robust order book of Rs 17,800 crore (including a contract worth Rs 4,412 crore not yet included in the order book). In December 2023, FIIs increased their stake to 10.98 per cent from 10.78 per cent.

Today, shares of PNC Infratech gained 0.21 per cent to Rs 414.30 per share from its previous closing of Rs 413.65 with an intraday high of Rs 415.10 and an intraday low of Rs 393.65. The stock’s 52-week high is Rs 420.85 and its 52-week low is Rs 261.25. The shares of the company saw a spurt in volume by more than 2.34 times on BSE.

The shares of the company have a PE of 17x, an ROE of 16.2 per cent and an ROCE of 15 per cent. The stock is up by 59 per cent from its 52-week low of Rs 261.15 per share and generated multibagger returns of over 120 per cent in 3 years. Investors should keep an eye on this Mid-Cap civil construction stock.

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