FM Nirmala Sitharaman fails to impress Railways stocks; Texmao Rail, RVNL, Titagarh Wagons down

Finance Minister Nirmala Sitharaman might have presented a reformist Union Budget 2019-20, but it failed to impress investors at Dalal Street, especially for the railway-linked stocks, which slipped into negative terrain post the announcement.

Talking about the Indian Railways, the Finance Minister said a public-private partnership will make services better. "Railway infra would need an investment of Rs 50 lakh crore between 2018 and 2030; PPP to be used to unleash faster development and delivery of passenger freight services," she said.

However, the Sitharaman did not announce any addition to the railway capital expenditure.

Reacting to Budget announcement, shares of Titagarh Wagons, the second largest freight wagon manufacturer in India, were trading lower at Rs 61.20, down 0.33 per cent, on the Bombay Stock Exchange. Texmao Rail & Engineering declined 2.27 per cent to Rs 66.90 in intra-day trade. Texmaco Infrastructure were marginally up at Rs 50, while Hind Rectifiers tumbled 3.23 per cent to Rs 126 on the BSE.

Also Read: Budget 2019: Nirmala Sitharaman calls for public-private partnerships in Indian Railways

Among other rail-related stocks, Larsen & Toubro (L&T) share price was down 0.11 per cent at Rs 1,569.85 per share. The newly listed state-controlled company Rail Vikas Nigam Limited (RVNL) were also trading in negative terrain, down 0.88 per cent at Rs 28.05 apiece.

Meanwhile, the BSE benchmark Sensex was trading at 39854.7, down by 53.36 points or by 0.13 per cent.

Edited by Chitranjan Kumar

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