Rs 5,100 crore order book and FIIs & DIIs increase stake: This multibagger railways telecom company receives new order worth Rs 120,45,94,708 from South Central Railway!
The stock gave multibagger returns of 286 per cent from its 52-week low of Rs 96.20 per share.
RailTel Corporation of India Ltd informed that the company has received the work order amounting to Rs 120,45,94,708 (including GST) from South Central Railway for comprehensive signalling and telecommunication works for the provision of an automatic block signalling system in the Yermaras-Nalwar section of Guntakal division in South Central Railway. The order will be completed within 720 days (2 years) from LOI.
Earlier, the company received the work order from the Bihar Education Project Council for the supply of teaching-learning material for classes I to III under a rate contract amounting to Rs 76.19 crore (including GST). The order will be completed within 3 months from the issuance of the LOI.
On Monday, shares of RailTel Corporation of India Ltd gained 9.88 per cent to an intraday high & 52-week high of Rs 371.4 per share. At the closing bell, shares of the company were trading at Rs 352.9 per share, up 4.41 per cent. The stock gave multibagger returns of 286 per cent from its 52-week low of Rs 96.20 per share. The shares of the company saw a spurt in volume by more than 2.59 times on BSE.
RailTel was incorporated in 2000, with the objective of creating nationwide broadband and VPN services, telecom, and multimedia networks, to modernize the train control operation and safety system of Indian Railways. In the fiscal year 2022-2023, the company reduced its debt, and as of right now, its total debt is only about Rs 41.8 crore. The company’s market cap of over Rs 11,000 crore and has been maintaining a healthy dividend payout of 43.2 per cent.
According to Quarterly Results, the net sales increased by 24.08 per cent to Rs 467.18 crore and net profit increased by 48.51 per cent to Rs 38.39 crore in Q2FY24 compared to Q2FY23. As of September 30, 2023, the company has a healthy order book of over Rs 5,100 crore. Additionally, FIIs have increased their stake to 1.46 per cent and DIIs have increased their stake to 3.54 per cent as of September 2023. Furthermore, according to Q3, FIIs and DIIs have increased their stakes. Investors should keep an eye on this Small-Cap stock.
Disclaimer: The article is for informational purposes only and not investment advice.
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