RailTel Share Price Surges 4.5% After Winning ₹274 Crore Maharashtra Order

RailTel Share Price Surges 4.5% After Winning ₹274 Crore Maharashtra Order

Market Performance

RailTel Corporation's share price jumped 4.6% on Thursday, June 5, hitting a seven-month high of ₹461.75 during mid-trading. The stock has been on a strong upward trend, gaining 15% in June and 75% from April lows.

Over the past five years, RailTel has delivered multi-bagger returns of 400%, making it a standout performer on Dalal Street.

Key Catalyst: ₹274 Crore Order Win

RailTel secured a major ₹274.40 Crore contract from the Motor Vehicles Department (MVD), Maharashtra. The project involves:

  • Designing and implementing an Intelligent Traffic Management System (ITMS)
  • Maintenance and operation for 10 years
  • Focus on blackspots and vulnerable areas in Vidarbha Circle

This marks RailTel's second big order win in a week:

  • May 31: ₹10.59 Crore deal with Mahanadi Coalfields for internet leased lines
  • Recent: ₹25 Crore contract from Andhra Pradesh Police

Company Financial Highlights (Q4 FY25)

  • Revenue: ₹1,308.28 Crore (57% YoY growth)
  • Net Profit: ₹113.4 Crore (46.3% YoY increase)

The strong financial performance and consistent order wins have reignited investor interest in RailTel.

Why RailTel Shares Are Gaining Momentum?

  1. Order Inflow Boost: Recent contracts signal strong demand for RailTel's services.
  2. Sector Revival: Railway stocks are attracting renewed attention after a slowdown.
  3. Consistent Growth: Multibagger returns and strong quarterly results enhance confidence.

Summary

RailTel's share price surge reflects optimism around its new ₹274 Crore Maharashtra order and robust financials. With a 400% return in 5 years, the stock remains a key player in the PSU segment.

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