RailTel Corporation of India Ltd (RailTel) recently secured a substantial work order worth ₹10.92 crore from Northern Railways, marking another milestone for the public sector enterprise. This railway telecom project, announced on September 4, adds to the company's growing portfolio shortly after its elevation to Navratna status, a coveted title given to India's top-performing public sector companies.
RailTel's shares open in green
On September 5, RailTel's share price witnessed a positive opening, rising 0.86% to ₹498.55 on the Bombay Stock Exchange (BSE) at 9:29 am. The announcement sparked a surge in investor interest, with shares on the National Stock Exchange (NSE) also opening strong at ₹497.60. Despite this slight dip from its previous close of ₹497.75, RailTel's shares remained stable, reflecting growing investor confidence. For those looking to buy shares online, this could present an opportune moment to consider the stock, given its solid performance over the past year.
The stock has seen an impressive rise of over 113% in the last 12 months, positioning itself as a multi-bagger. Analysts have credited the company's recent success to its new Navratna status. This recognition not only strengthens its position in the market but also opens up avenues for greater investor participation. If you're planning to buy shares online, RailTel could be a stock worth considering, given its growth potential and the recent momentum in railway PSU stocks.
Navratna's status and international expansion
The company's future looks promising as it embarks on international expansion plans following its Navratna upgrade. Sanjai Kumar, RailTel's Chairman and Managing Director, noted that this status brings new opportunities, including the ability to open offices abroad and make more significant investments. For those keen to buy shares online, these developments could signal long-term growth for RailTel, making it an attractive investment option.
Navratna status is awarded to public sector enterprises in India that demonstrate exceptional financial and market performance. RailTel's elevation from Miniratna to Navratna status signifies its strong potential and growing market presence. Kumar further highlighted that this recognition boosts RailTel's appeal among investors, customers, and buyers, making it easier to secure international deals.
As the company prepares for its global ventures, its leadership sees this as a stepping stone to increasing profitability and enhancing its market footprint. For investors looking to buy shares online, RailTel's focus on both domestic and international growth could make it an appealing choice.
Analyst insights: a stock to watch
Avinash Gorakshkar, Head of Research at Profitmart Securities, emphasised the impact of the Navratna status on RailTel's stock performance. According to him, railway PSU stocks have been underpriced in the recent bull market, but this positive trigger has drawn the attention of buyers. If you're thinking of investing and prefer to buy shares online, the current rally in RailTel's stock might present a unique opportunity to capitalise on the company's growth trajectory.
RailTel's recent ₹10.92 crore order and its newly acquired Navratna status have made it a stock worth watching. With international expansion plans on the horizon and the potential for further growth, those looking to buy shares online may find RailTel to be a strong contender for their portfolio.
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