Investment in infrastructure for manufacturing by government, Make in India campaign, boom due to stable asset quality
Double to 5 times return in 11 shares
| Company | 1-1-23 | 20-1-24 |
|---|---|---|
| IRFC | 32 | 176.25 |
| IRCON | 60 | 256 |
| RVNL | 68 | 320 |
| Cochin Ship | 267 | 877 |
| PFC | 113 | 417 |
| MSTCLTD | 295 | 1037 |
| RAILTEL | 127 | 440 |
| ITI | 103 | 354 |
| SJVN | 34 | 111 |
| HUDCO | 52 | 167 |
| ENGINEERSIN | 79 | 242 |
More than double returns in 12 shares
| Company | 1-1-23 | 20-1-24 |
|---|---|---|
| MAZDOCK | 793 | 2365 |
| NLCINDIA | 86 | 243 |
| IFCI | 14 | 39 |
| BHEL | 79 | 219 |
| NBCC | 39 | 102 |
| IREDA | — | 149 |
| MATTER | 1265 | 3002 |
| MMTC | 38 | 75 |
| MIDHANI | 217 | 471 |
| GICRE | 178 | 368 |
| BEML | 1468 | 3175 |
| HINDCOPPER | 110 | 271 |
The market cap of these companies is highest
| Company | MarketCap (Lakh Crore) |
|---|---|
| LIC | 5.92 |
| ONGC | 3.04 |
| NTPC | 2.99 |
| Coal India | 2.46 |
| IRFC | 2.31 |
| IOC | 2.09 |
| Powergrid | 2.21 |
| Hindu.Aeronauticsa | 2.01 |
| Power Fi. | 1.38 |
| Bharat Petro. | 1.04 |
Five strong reasons for the boom
- Significant strong impact on manufacturing infrastructure capex, defense dependence and ‘Make in India’
- A year ago shares of state-owned companies were trading at a significant discount to private-sector ones.
- Initiated various measures to increase operational autonomy of PSU companies and proposed significant reforms and
- Excellent financial performance selected by stable asset quality in corporate banks
- Firms have strong order book and strong infrastructure growth
500% growth in IRFC 10 Bhas, Top-10 among PSU companies
IRFC stock touched an all-time high of Rs 176.39. The company’s shares have seen a sky-high 495% rise in the last 10 months alone. While market cap 1 has reached 2.30 lakh crore for the first time
Disinvestment target 51000 crores while only 11000 crores got
The budget estimate of the government for the financial year 2023-24 was Rs 94,000 crore in which the disinvestment target was Rs 51,000 crore, but out of this the government has got only Rs 11,000 crore on an average.
This is the appearance of PSU companies The year will also be maintained
As it is an election year in the country, infrastructure will be given more priority. Several promotional announcements are likely to benefit PSU companies.
Parth Sanghadia, Research Analyst-Torin Wealth Group. Global Geo Political Issues in the year 2023, Amid inflation, high interest rates and financial crisis Indian economy has been performing strongly. India Govt prioritizes Make in India, PLI Benefits of the scheme, boost infrastructure and companies Due to the eco-friendly environment for Govt (PSU) companies—as well as investors An attractive response has been received.
25 PSU companies From two times to five times investors only one has given returns in the year itself which shows that the investors There is strong trust in the government. with infrastructure Associated companies have made an attractive appearance in which IRFC, IRCON, Rail Development Corporation, Cochin Shipyard and Power Finance Corporation Such companies had a strong performance. so much Not only IRFC market cap one lakh in four months It has increased by more than 2.31 lakh crores.
The way PSU shares are performing strongly One of its meanings is also getting to know that Govt Disinvestment in these companies in the near future can consider the issue. Government