Introduction: Railway Stocks on a Bull Run
Railway stocks witnessed a sharp rally today, with Ircon International, RailTel, RVNL, and others surging up to 12% following the government’s fresh infrastructure spending push. The surge comes after Union Budget 2025-26 allocated ₹2.8 lakh crore for railway modernization, doubling down on last year’s capex boost.
This blog covers:
Top gainers & stock price movements
Budget 2025’s railway capex highlights
Brokerage upgrades & target prices
Long-term growth drivers for railway stocks
Risks & investor outlook
Top Railway Stock Performers (July 10, 2025)
| Stock | Price (₹) | Intraday Gain (%) | 52-Week High |
| IRCON International | ₹320 | +12.3% | ₹335 |
| RailTel Corporation | ₹485 | +9.8% | ₹510 |
| RVNL | ₹420 | +8.5% | ₹440 |
| Titagarh Rail Systems | ₹1,250 | +7.2% | ₹1,300 |
| IRFC | ₹180 | +6.4% | ₹195 |
*Source: NSE/BSE, as of 2:30 PM IST*
Budget 2025’s Railway Capex Boost: Key Takeaways
The Union Budget 2025-26 announced major railway infrastructure investments:
✔ ₹2.8 lakh crore allocation (up 18% YoY)
✔ 100% electrification of broad-gauge railways by 2026
✔ 500 new Vande Bharat Express trains in next 3 years
✔ Dedicated freight corridors (DFCs) expansion
✔ Metro & suburban rail projects in 15 cities
This spending spree directly benefits railway PSUs & private contractors like L&T and Siemens.
Why Are Railway Stocks Rising?
1. Order Book Visibility
- RVNL & Ircon have ₹25,000+ crore pending orders.
- RailTel bagged ₹1,200 crore telecom infra projects.
2. Margin Expansion
- Steel & cement costs stabilizing, aiding profitability.
- Higher execution pace = better revenue recognition.
3. Brokerage Upgrades
| Stock | Brokerage | Rating | Target Price (₹) |
| IRCON | ICICI Direct | Buy | ₹375 |
| RVNL | Motilal Oswal | Outperform | ₹460 |
| RailTel | HDFC Sec | Accumulate | ₹550 |
Long-Term Growth Drivers
PM Gati Shakti – Multi-modal connectivity push
Private train operations – New revenue streams
Export potential – Indian firms bidding for global rail projects
Risks to Consider
Execution delays due to land acquisition issues
Rising competition from private players
Election-year policy slowdown risk
Investor Takeaway: Buy, Hold, or Book Profits?
- Short-term traders: Ride the momentum but watch for profit booking.
- Long-term investors: Accumulate on dips; railway capex is a 5-year theme.
Top Pick: IRCON (Strong order book) & RailTel (Digital infra play)
Sourashis Chanda brings readers their unique perspective on Business, Economy, Health and Fitness. With a background in Health and Physical Fitness of 2years, I am dedicated to exploring [what they aim to achieve with their writing, on the sustainable Economy of the country, various pro tips about business, latest goverment news, with some tips in health are and Fitness.
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- Sourashis Chandahttps://indiatadkha.com/author/sourashis/
- Sourashis Chandahttps://indiatadkha.com/author/sourashis/
- Sourashis Chandahttps://indiatadkha.com/author/sourashis/
