The railway stocks have been in focus for a host of reasons. Particularly, RVNL and RailTel shares are in the limelight on order wins. These stocks have delivered smart returns over a 1-year time frame despite double-digit losses on a 1-month time frame during the recent carnage in the markets-
Here is a look at the big drivers for the stocks at the moment-
RVNL
The company has bagged a Rs 156.85 crore order from South Western Railway. RNL emerged as the lowest bidder for engineering, procurement, and construction for the design, supply, erection, testing, and commissioning of a 2×25 KV OHE & PSI System. This includes electrical general services, engineering & telecommunication works between Rayadurga and Topavagada of the TK-RDG Section. However, the stock price of RVNL declined 3.4% to an intra-day low of Rs 359.10.
RVNL’s share price has risen almost 11% in the past five trading sessions. However, it has fallen 11% in the last one month and 36.5% in the past six months. The stock has given a return of more than 37% in the previous one year.
ALSO READWhy are Tech stocks falling today? 3 reasons are… RailTel
RailTel shares rose 3.3% to a high of Rs 315.50, intra-day after it received a tender worth Rs 288 crore to build the Kavach system for East Central Railway. “Pursuant to Regulation 30 read with Part A (B) of Schedule III of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, this is to inform you that RailTel Corporation of India Ltd. (“the Company”) has received the work order from East Central Railway for Works amounting to Rs. 2,88,14,67,426 (Including Tax),” an exchange filing read.
The share price of RailTel has risen almost 6% in the last five trading sessions. However, the stock has fallen more than 18% in the previous one month and 38% in the past six months. The stock has wiped out 27% in the previous one year.
ALSO READNifty, Sensex slide 1% – 3 reasons why the stock market is falling today
To compare, the benchmark index, Nifty 50 has fallen 1.4% in the past five trading sessions. The index has wiped over 2% of investors’ wealth in the previous one month and 10% in the past six months.
» Read More
