RVNL shares jump over 3% on NTPC order win
RVNL has won a Rs 38.10 crore contract from South East Central Railway for the automatic signaling system with electronic interlocking in Champa, Saragaon, and Baraduar, Sakti sections.
Shares of Rail Vikas Nigam Limited (RVNL) surged 3.7% to the day’s high of Rs 382 after the company announced it had been awarded the project execution agency contract from NTPC.“RVNL has received a Letter of Award from National Thermal Power Corporation (NTPC) for Project Execution Agency (PEA) contract for execution of Balance Civil & HM works of barrage complex including part HRT package of Rammam hydro electric project stage-III (3x40 MW),” said the railway PSU to the stock exchanges in a filing.
The contract value is worth Rs 495.15 crore and the project is expected to be completed within 66 months, i.e 5.5 years.
Recently, the railway company informed the exchanges that they have won a Rs 38.10 crore contract from the South East Central Railway as well which involves the provision of an automatic signaling system with electronic interlocking between Champa, Saragaon, and Baraduar, Sakti sections.
RVNL’s order inflow in FY25 is guided to be in the range of Rs 20,000 crore to Rs 25,000 crore and it aspires to maintain a book-to-sales ratio in the range of 3x to 4x.
Pushed by strong order inflows and strong execution, multibagger rail PSU stock RVNL is having a dream run as the stock has rallied by almost 1000% in the past 2 years while displaying a 3-fold growth in the last year alone.
Due to the volatility experienced during the election outcome this week, the stock tumbled 2.3% in the same time.
Buying has been visible across rail PSU stocks with a surge in delivery and trading volumes which is supporting the upmove in RVNL too.
Source: Stocks-Markets-Economic Times
