Indian Railway Finance Corporation (IRFC) share price witnessed a notable dip of over 4% to ₹105.29 in Wednesday’s trading session. The decline comes as the central government opened an offer for sale (OFS) of up to 4% stake in the Mini-Ratna company, drawing significant attention in the stock market today.
The railway financing stock began the day at ₹105.79, down from ₹109.44 recorded on Tuesday, reflecting early market sentiment ahead of the stake sale.
Market Performance: IRFC Today
- Opening Price: ₹105.79
- Previous Close: ₹109.44
- Intraday Movement: Fell over 4%
- Key Trigger: Government stake sale via OFS
The stock’s near-term trend shows pressure as investors digest the implications of the divestment, while market watchers closely track daily movements in IRFC share price.
IRFC Offer for Sale (OFS) Details
The government’s OFS in IRFC has been structured in two phases:
- Non-retail investors: OFS opened Wednesday
- Retail investors: OFS opens Thursday, February 26
The total stake on sale is 4% of the company, split into:
- 2% stake through the standard OFS
- Additional 2% via green shoe option, if oversubscribed
Equity details:
- Shares on offer: 26.13 crore
- Face value: ₹10 per share
- Floor price: ₹104 per share
- Total OFS value: Approximately ₹5,436 crore for 4% equity
Currently, the government holds 86.36% stake in IRFC. Post-OFS, this will reduce to 82.36%, marking a small but notable shift in public holding.
IRFC Q3 FY26 Financial Highlights
IRFC, operating under the administrative control of the Ministry of Railways, posted its third-quarter results for FY26 with the following numbers:
- Net Profit: ₹1,802 crore, up 10.51% YoY from ₹1,631 crore
- Total Income: ₹6,719 crore, slightly lower than ₹6,766.39 crore last year
- Total Expenses: ₹4,917.04 crore, down from ₹5,135.7 crore
- Revenue: ₹6,661 crore versus ₹6,763 crore last year
The minor decline in revenue was attributed to a one-year extension of a moratorium granted by the Ministry of Railways for a project lease agreement, which affected revenue recognition for the quarter.
IRFC Share Price Trend
The railway stock has faced pressure in the short term:
- Past five sessions: Down 7%
- Past month: Down 8.34%
- Past six months: Declined over 15%
- Year-to-date (YTD): Down 16.49%
Despite near-term volatility, IRFC has delivered multibagger returns of 326% over the last five years, highlighting the company’s strong long-term growth trajectory.
Summary
IRFC share price movement today reflects investor focus on the government’s ₹5,430 crore OFS, with the stock opening lower as the market priced in the stake sale. While quarterly results show steady profit growth and cost control, near-term trading is influenced by the OFS and its impact on public shareholding.
Investors and market watchers continue to track the stock for intraday movements, OFS participation, and post-divestment shareholding patterns, as IRFC remains a key player in railway financing under the Ministry of Railways.
Source: Livemint
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