Introduction:
Historically, India’s railway industry has been a significant contributor to the country’s infrastructure. It is a lifeline that connects people across India. In 2024, there are a few railway stocks with considerable upside potential, which are going to be covered in this article.
5 Railway Stocks to Invest in 2024
Railway companies have the potential for significant growth since they act as the backbone of India’s infrastructure development. Here are India’s top five railway stocks to watch out for in 2024 with unique strengths and prospects each. Also, while investing, you can use a brokerage calculator to find how much brokerage charges you would be required to pay.
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IRCTC
The Indian Railway Catering and Tourism Corporation (IRCTC) is a Mini Ratna (Category-I) Central Public Sector Enterprise under the Ministry of Railways. Since 1999, IRCTC has revolutionized online booking, catering, and tourism services offered by the Indian Railways.
Its monopoly in railway ticket booking and catering services makes it a significant player. In addition to its other offerings, IRCTC offers packaged drinking water (Rail Neer) and travel and tourism packages.
Market Cap as of July 2024: Around ₹80,280.00 Crore
IRCTC Share Price as of July 2024: Around ₹1,000+
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Ircon International
Ircon International Limited, a government-owned engineering and construction company, was established in 1976. Ircon is popular for its specialization in transportation infrastructure projects such as railroads, highways, and bridges. The company has an international presence with a project completion record in over 30 countries.
Ircon’s commitment to quality and timely delivery of projects continues to make it a leader in the infrastructure sector.
Market Cap as of July 2024: ₹25,995.86 Crore
Ircon International Share Price as of July 2024: Around ₹280
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IRFC
The Indian Railway Finance Corporation (IRFC) is a subsidiary of Indian Railways that came into existence in 1986. IRFC funds infrastructure development and maintenance projects for the Indian Railways. Financing projects aimed at modernizing or expanding railway networks is critical for connecting the Indian states.
Market Cap as of July 2024: ₹2,30,776.75 Crore
IRFC Share Price as of July 2024: Around ₹180.
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Rail Vikas Nigam
Rail Vikas Nigam Limited (RVNL) was incorporated under the Ministry of Railways in 2003 as a public sector enterprise. RVNL procures financial means for railway projects, including new lines, doubling, gauge conversion, and electrification.
The company has played a crucial role in the modernization and expansion of the Indian Railways over the years.
Market Cap as of July 2024: ₹87,018.31 Crore
Rail Vikas Nigam Share Price as of July 2024: Around ₹415+
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Jupiter Wagons
Jupiter Wagons Limited was established as a manufacturer of railway wagons and coaches in 1979 in India. The company has a good reputation in this field and produces high-quality products that meet the changing needs of the railway industry.
Over the years, Jupiter Waggons has diversified its product range, becoming a significant contributor to Indian Railways.
Market Cap as of July 2024: ₹28,571.95 Crore
Jupiter Wagons Share Price as of July 2024: Around ₹720+
Conclusion
IRCTC, Ircon International, IRFC, Rail Vikas Nigam, and Jupiter Wagons are the top five railway stocks for 2024 which have merits and growth potential. Considering India’s economic and infrastructural dependence on railroads, investment in them could be suitable for investors looking to build up a long-term portfolio.
