Multibagger Rail Vikas Nigam Share Price Rises 10%: 3 Reasons Why the Stock Remains in Focus Today
Contents
Stock Market Today: Multibagger Rail Vikas Nigam (RVNL) share price surged over 10% in morning trades on Wednesday. The stock remains in the spotlight due to three major developments:
- Receipt of Letter of Acceptance (LOA) from Maharashtra Metro Rail Corporation:
- RVNL announced receiving the LOA from Maharashtra Metro Rail Corporation for a construction project in Nagpur. This includes the construction of six elevated metro stations: Cantonment, Kamptee Police Station, Kamptee Municipal Council, Dragon Palace, Golf Club, and Kanhan River Metro Station. The project, part of NMRP Phase 2, has an estimated cost of ₹187.34 Crore.
- Memorandum of Understanding (MOU) in the Middle East:
- RVNL signed an MOU with M/s TATWEER Middle East and Africa LLC (TATWEER). This partnership aims to leverage RVNL’s expertise in the railway sector to develop joint capabilities in design and execution of various rail-based projects in the MENA region and European countries. Additionally, the MOU covers the supply, design, implementation, and commissioning of smart city projects, digital transformation, and professional engineering services.
- Lowest Bidder in a South Eastern Railway Project:
- RVNL emerged as the lowest bidder (L1) for a project from South Eastern Railway. The project involves the design, supply, erection, testing, and commissioning of a 132 KV Traction Substation, Sectioning Posts (SPs), and Sub Sectioning Posts (SSPs) in a 2x25KV system on the Kharagpur – Bhadrak section of the Kharagpur division. The project is expected to be completed in 18 months and has a cost of ₹202.87 Crore.
Stock Performance:
RVNL’s share price opened at ₹560.00 on Wednesday, 3.17% higher than the previous close of ₹542.75 on the NSE. The stock continued to rise, reaching a high of ₹598, marking gains of more than 10%. Over the past year, RVNL’s share price has gained over 387%, delivering multibagger returns to investors.
Conclusion:
Rail Vikas Nigam Limited (RVNL) continues to attract investor attention with significant project wins and strategic partnerships. The company’s robust performance, coupled with its expanding footprint in both domestic and international markets, positions RVNL as a promising stock in the infrastructure and railway sectors.
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