RVNL Share Price Futures: Stock may remain bullish till Rs 882 in the month of September, know the opinion of market expert
Shares of Rail Vikas Nigam Ltd. (RVNL) declined as much as 2% to hit a day’s low of ₹566 during Friday’s trading session. The stock has corrected 12% from its record high levels of ₹647, which it had hit on July 15, 2024.
Technical analyst Sarvendra Srivastava recommended investors to book profits when the stock bounces back, as they will have the opportunity to buy at lower levels. He said, “It’s extremely overbought and has been highly favored by the market. When corrections happen in such stocks, they often experience a sideways to downward phase for three to six months.”
Main Points
Antique Broking has assigned a ‘Sell’ recommendation to the stock with a price target of ₹283 per share. The brokerage finds the stock overvalued and believes that a lot of opportunities are in the planning stage.
“The stock trades at an expensive valuation of 66 times/ 59 times at its FY26E/27 EPS. We have a sell rating and a SoTP-based target price of ₹283. Risks to our rating are execution uptick and order wins. We have modelled in an inflow of ₹25,000 crore per annum over FY25-27E,” the brokerage noted.
In terms of technicals, the stock’s relative strength index (RSI) stood at 53.1, indicating it’s trading neither in the overbought nor in the oversold zone. RVNL shares have a one-year beta of 1.3, indicating very high volatility during the same period.
Rail Vikas Nigam shares are trading higher than the 50 day, 100 day, 150 day and 200 day moving averages but lower than 5 day, 10 day, 20 day, and 30 day moving averages.
Shares of Rail Vikas Nigam Ltd. are currently trading 2.25% lower at ₹568.75 apiece on the NSE. The Navratna PSUs shares have risen 214% so far this year, while over a 12-month period, the stock has climbed 280%.
RVNL Company Overview
Rail Vikas Nigam Limited is a civil work company with a market capitalization of INR 6,0886.26 Cr. as of 16th August ‘2021. As per the last audited balance sheet, the company has reported a combined turnover of INR 14,530.58 Cr. for FY 2020.
RVNL public limited company was incorporated on 24th January ‘2003 and commenced its operation in 2005. RVNL is a Category-I Mini Ratna Company. The company’s other clients include various central and state government ministries, departments, and public sector undertakings.
As of 31st March 2020, 92 projects were under construction, five projects yet to be sanctioned, and 76 projects fully completed until March 2019. RVNL has 38 project implementation units in all the Zonal railways and 19 states of the country.
RVNL Financial Performance
As of March 2020, reported net sales were INR 14,530.58 crore, which shows an increase of 44.31% from INR 10,068.68 crore reported in March 2019. Annual Net Profit as of March 2020 was INR 753.32 crore, which shows a rise of 9.54% from INR 687.74 crore, which was reported in March 2019.
The Earning Per Share (EPS) has increased to INR 3.61 per share as of March 2020 from INR 3.30 per share reported in March 2019. As of June 2021, 78.20% share is held by the Minister of railways RVNL, including BSE 500.
Rail Vikas Nigam Ltd. share price was Rs 565.45 at 03:32 PM IST on 9th Sep 2024. The stock was down by 0.71% from the previous closing price of Rs 569.45.
The 52-week high of the stock is Rs 647.00, which it hit on 15-Jul-2024. The 52-week low is Rs 127.35, recorded on 29-Aug-2023. The all-time high of the stock is also Rs 647.00, which it reached on 15-Jul-2024.
The PE ratio of the stock is 83.02, while the EPS (TTM) is Rs 6.98. The dividend yield is 0.36%, with the latest dividend of 3.60% declared on 20-Sep-2023.
Disclaimer: The information given in this article is from investment experts and brokerage companies, they do not represent Local Haryana. Before taking any investment related decision, you must consult a certified expert.
