Rs 97,000 crore order book: Multibagger railway stock jumps over 10 per cent with heavy volume

The stock gave multibagger returns of 200 per cent in just 2 years and a whopping 1,900 per cent in 5 years.

On Monday, Rail Vikas Nigam Ltd (RVNL) shares jumped 11.02 per cent to Rs 359.20 per share from its previous closing of Rs 323.55 per share. The stock’s 52-week high is Rs 647 per share while its 52-week low is Rs 249.75 per share. The shares of the company saw a spurt in volume by more than 2.70 times.

Rail Vikas Nigam Ltd, a Navratna company, was established in 2003 by the Government of India for various rail infrastructure projects. The company has delivered good profit growth of 21 per cent CAGR over the last 5 years and has been maintaining a healthy dividend payout of 33.4 per cent. As of December 31, 2024, RVNL has a strong order book of Rs 97,000 crore, focusing on railway, metro and overseas projects.

Rail Vikas Nigam Ltd (RVNL) has announced that a Board of Directors meeting will be held on Wednesday, May 21st, 2025, to consider and approve the audited financial results (standalone and consolidated) for the quarter and year ending March 31st, 2025, following a review by the Audit Committee. Consequently, as per RVNL's code of conduct for regulating trading by designated persons and their immediate relatives, the Trading Window Closure Period has been in effect since April 1st, 2025, and will continue until 48 hours after the declaration of the financial results, concluding on Friday, May 23rd, 2025 (inclusive of both dates).

Earlier, the company emerged as the Lowest Bidder (L1) from Southern Railway for upgradation work of the electric traction system from 1x25 kV to a 2x25 kV traction system for Salem Jn. (SA)-Podanur Jn. (PTJ) & Irugur (IGU)-Coimbatore Jn. (CBE)- Podanur Jn. (PTJ) section of the Salem division of the Southern Railway to meet the 3000 MT loading target. The order is worth Rs 143,37,87,127.90 and will be completed within 2 months.

According to Quarterly Results, the net sales decreased by 2 per cent to Rs 4,591 crore and net profit declined by 10 per cent to Rs 295 crore in Q3FY25 compared to Q3FY24. In its annual results, the net sales increased by 8 per cent to Rs 21,889.23 crore and net sales increased by 16.5 per cent to Rs 1,469.53 crore in FY24 compared to FY23. The company has a market cap of over Rs 74,000 crore and the shares of the company have an ROE of 21 per cent and an ROCE of 19 per cent.

As of March 2024, the President of India owns a 72.84 per cent stake and Life Insurance Corporation of India owns a 5.84 per cent stake. The stock gave multibagger returns of 200 per cent in just 2 years and a whopping 1,900 per cent in 5 years.

Disclaimer: The article is for informational purposes only and not investment advice.