Ram Mandir theme: Smallcap zooms 7% on bagging orders from Ayodhya
Ram Mandir on Monday, investors are continuing to look for stocks that could benefit from the surge in religious tourism.
Want to take exposure to a sector which grows much faster than GDP
Shares of smallcap stock Responsive Industries rallied up to 7% on announcing its selection as a key partner for several prestigious hospitality and other projects currently under construction in the holy city of Ayodhya.
The smallcap stock, which has more than doubled in the last one year, rallied up to 7% to hit day's high at Rs 324.30 on Wednesday.
Thane-based Responsive Industries is a leading manufacturer of PVC products like vinyl flooring, synthetic leather and luxury vinyl tiles.
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The company said it anticipates a significant positive impact on its revenue as a result of the partnerships in Ayodhya. «The historic and spiritual significance of Ayodhya, coupled with its booming growth as a tourist destination, makes it a focal point for various development initiatives. The company is proud to play an integral role in these endeavors by providing top-tier solutions in flooring, wall coverings,» it said.
Estimates done by Jefferies show that Ayodhya can attract as many as 5 crore tourists a year. «A $10 billion makeover (new airport, revamped railway station, township, improved road connectivity etc) will likely drive a multiplier effect with new hotels & other economic activities. It can also set a template for infra-driven growth for tourism,» it said.
Tourism is projected to surge and increased economic and religious migration to Ayodhya, multiple sectors stand to benefit including hotels, airlines, hospitality, FMCG, travel
