Multibagger railway stocks RVNL, IRCON, and 3 others surge up to 18% – here’s why | Stock Market News
Railway stocks soared today, with many reaching new record highs. Leading the way were Rail Vikas Nigam (RVNL), IRCON International, RailTel Corporation, IRCTC, and IRFC, all climbing by up to 18%.
RVNL’s Big Gains
RVNL’s shares hit a new record high of ₹498.50, up 18%. This followed RVNL’s new deal with Delhi Metro Rail Corporation to work on future infrastructure projects in India and abroad. RVNL will offer services for various projects including metro, railways, highways, bridges, tunnels, and more.
On June 3rd, RVNL announced it won a ₹1.32 billion project from Central Railway. The project involves upgrading the electric transmission system in the Wardha-Ballarshah Section of the Nagpur division. RVNL has secured multiple orders in June, including a major one worth ₹132 crore. So far this year, RVNL’s stock has surged 173%.
IRCON’s Strong Performance
IRCON International’s shares jumped 13% to a new high of ₹316. This rise came after IRCON, in a joint venture, won a contract from Rail Vikas Nigam. The project includes designing, supplying, installing, testing, and commissioning a broad gauge ballastless track between Rishikesh and Karanprayag in Uttarakhand, covering 125 km. The contract is valued at ₹750 crore. IRCON’s shares have risen 82% this year.
RailTel’s Success
RailTel Corporation saw a 10% increase, reaching a new high of ₹534.40 per share. This surge followed RailTel securing a ₹23.96 crore order from Webel Technology to upgrade IT and non-IT infrastructure. This is RailTel’s fifth order win in less than a month. So far this year, RailTel’s shares have climbed 56%.
IRFC’s Rise
Indian Railway Finance Corporation (IRFC) shares rose by 7% to ₹191.70. IRFC plays a key role in funding the Indian Railways’ infrastructure projects by raising funds for capital expenditures.
IRCTC’s Growth
IRCTC shares also increased by 2% to ₹1,034. IRCTC is the only government-authorized provider of online railway tickets, catering services, and packaged drinking water at railway stations and on trains in India.
Railways on Fast Track
Railway capital expenditure (capex) is gaining momentum, with opportunities in rolling stock, line construction, and station development. The National Rail Plan aims to spend ₹9.2 trillion from FY26E–31E compared to ₹5.8 trillion from FY21–26E.
Significant opportunities are emerging in both passenger and freight services. The government plans to increase its freight market share from 27% to 45% by 2030, with large capex planned for Vande Bharat train procurement and Metro projects.
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