Shares of IRCON International Ltd., the state-run railway company, surged as much as 7% on Tuesday, March 18, after the company’s Joint Venture bagged an order in Meghalaya.IRCON informed the exchanges on Monday that it has been awarded an EPC contract floated by the Directorate of Urban Affairs of the Government of Meghalaya. The scope of the contract involves the construction of the new Secretariat Complex, including Campus Infrastructure in New Shillong City.
IRCON is supposed to execute this order over 36 months along with its JV partner Badri Rai and Company, who has a 74% stake in the JV, while IRCON has the other 26%.
The total value of the contract is ₹1,096 crore, according to the company’s exchange filing.IRCON International is among those railway PSUs, which have seen a steep correction from the peak. As of Thursday’s close, shares of IRCON International were down 60% from their 2024 peak of ₹351.
IRCON is supposed to execute this order over 36 months along with its JV partner Badri Rai and Company, who has a 74% stake in the JV, while IRCON has the other 26%.
The total value of the contract is ₹1,096 crore, according to the company’s exchange filing.IRCON International is among those railway PSUs, which have seen a steep correction from the peak. As of Thursday’s close, shares of IRCON International were down 60% from their 2024 peak of ₹351.
IRCON International is covered by three analysts and none of them have a “buy” recommendation on the stock. Only Antique Stock Broking has a “hold” rating on the stock with a price target of ₹153, while IDBI Capital Markets and Equirus Securities have a “sell” recommendation with price targets of ₹143 and ₹144 respectively on the railway PSU.
As of the December shareholding pattern, the government held a 65.17% stake in IRCON International.
IRCON International shares are currently trading 7.5% higher at ₹148.6. With this surge, the stock has nearly reversed all the losses it made over the last one month. However, the stock is still down 32% so far in 2025.
