Shares of Rail Vikas Nigam Ltd (RVNL) saw an uptick in Tuesday's trade, snapping their six-session losing run. The stock jumped 4.85 per cent to hit a day high of Rs 339.25. It was last seen trading 1.33 per cent up at Rs 327.85. Despite the mentioned rise, the scrip has tanked 23.36 per cent on a year-to-date (YTD) basis.
The state-owned rail player has recently informed exchanges that it received several tax demand notices from authorities.
Separately, the rail PSU has an Rs 97,000-odd crore order book, excluding Vande Bharat. "This (order book) is excluding Vande Bharat, because Vande Bharat, we are not taking it in that sense, because it will start generating revenue after maybe a year or so. So, we are keeping it slightly, as far as our calculation is concerned, we are not adding it for the time," said RVNL chairperson and managing director Pradeep Gaur.
On technical setup, support for RVNL's stock could be seen in the Rs 320-310 range. Immediate resistance may be found above Rs 340 level.
Osho Krishan, Senior Research Analyst - Technical & Derivatives at Angel One, said, "The counter has a historical support placed around the Rs 320-310 subzone. On the higher end, a decisive breach beyond Rs 380 could only trigger fresh momentum in the counter."
Jigar S Patel, Senior Manager - Technical Research Analyst at Anand Rathi, said, "Support will be at Rs 310 and resistance at Rs 340. A decisive move above Rs 340 level may trigger a further upside towards Rs 365. The expected trading range will be between Rs 300 and Rs 365 for the short term."
Sebi-registered research analyst AR Ramachandran said, "RVNL has strong resistance at Rs 350 level. A daily close below support of Rs 310 could lead to a downward target of Rs 278 in the near term."
The counter traded lower than the 5-day, 10-, 20-, 30-, 50-, 100-, 150-day and 200-day simple moving averages (SMAs). The counter's 14-day relative strength index (RSI) came at 35.75. A level below 30 is defined as oversold while a value above 70 is considered overbought.
The stock has a price-to-equity (P/E) ratio of 54.72 against a price-to-book (P/B) value of 8.60. Earnings per share (EPS) stood at 5.99 with a return on equity (RoE) of 15.71.
RVNL is an executing arm of Indian Railways and works for and on behalf of the ministry to execute projects assigned to it. It works on a turnkey basis and undertakes the full cycle of project development from conceptualisation to commissioning including stages of design, preparation of estimates, calling and award of contracts, projects and contract management. As of December 2024, the government held a 72.84 per cent stake in the state-run firm.