G20 effect! Multibagger rail stocks rally up to 15% after PM Modi's announcement
G20 summit gave another reason for multibagger railway stocks to fly off the charts and rally up to 15%. PSU rail stock IRCON International, which has already doubled investors' wealth in the last 6 months, rallied up to 15% on Monday to hit a fresh 52-week high at Rs 154.65.
IRFC shares zoomed 10% to hit the upper circuit limit at a fresh high of Rs 84.76.
Shares of RVNL were also up 9.4% while Titagarh Wagons was trading 5% higher. Buying momentum was also seen in Railtel, RITES and Texmaco Rail which were up 2-3% each.
Although rail stocks have been rallying on the back of a strong government order book and railways modernisation programme, today's buying was attributed to Saturday's announcement of a shipping and rail transportation corridor linking countries across the Middle East, South Asia and Europe on the sidelines of the G20 Summit in New Delhi.
The announcement of a new corridor will lead to a comprehensive rail and shipping connectivity network linking the US, India, Saudi Arabia and Gulf and Arab states, and the European Union.
