In today’s trading session, RPP Infra Projects hit the upper circuit with a gain of 5% at Rs 71.36 on the Bombay Stock Exchange. The sudden surge has been attributed to the company’s recent acquisition of a significant government contract, which has sparked investor confidence. The company’s performance, coupled with the favourable market conditions, has resulted in this upward trajectory. This article digs deeper into the reasons behind this sudden hike, examining the company’s current projects and future prospectsIn a surprising turn of events, the shares of RPP Infra Projects hit a 5% upper circuit in the trading session today. The shares were up by 4.99 per cent, trading at Rs 71.36 on the Bombay Stock Exchange (BSE) as of 12:20 pm. The surge was unexpected, causing a stir in the market and prompting analysis to understand the underlying cause
Experts cite several key factors driving this upward trend. RPP Infra Projects, a leading infrastructure company, recently announced its plan to expand operations and diversify its portfolio. This move was favourably received by the market, leading to an increase in the company’s share pricesRPP Infra Projects has always demonstrated sound financial management and robust growth. The company’s decision to expand and diversify its portfolio is seen as a strategic move that could boost its revenue in the long run,” says Ankit Agarwal, a market analystAdditionally, the company’s strong Q4 results also contributed to the bullish trend. As per the data released by the company, RPP Infra Projects reported a net profit of Rs 5.13 crore for the quarter ended March 2021, compared to a net loss of Rs 3.91 crore during the same period the previous year The stock is up by 32% in a month, up 45% in 6 months and over 50% in a year.Investors should keep an eye on RPP Infra Projects Ltd shares
Moreover, the overall bullish sentiment in the infrastructure sector helped the shares to surge. Positive government policies and increased spending on infrastructure development have boosted the sector’s growth prospects, positively affecting the stock prices of companies in this spaceHowever, market experts advise investors to tread cautiously. While the growth prospects look promising, it is essential to consider the inherent risks and market volatility associated with equity investmentsAmong the substantial contracts secured by the company is a project from Chennai Petroleum Corporation Limited (CPCL). The contract, valued at ₹300.44 crore, involves executing road and drain works at CPCL’s Nagapattinam facility in Tamil Nadu and is expected to be completed within a year
RPP Infra Projects, an infrastructure firm, witnessed a significant increase in its share price on Tuesday, hitting a 52-week high of ₹71.36. This surge followed the company’s announcement that it has received orders totaling ₹482.37 crore. The shares were locked in a 5% upper circuit in early trade on Tuesday, with pending buy orders for 66,043 shares and no sellers on offerIn addition to this, the Defence Research & Development Organization has awarded RPP Infra Projects a contract for civil works and allied services related to an engine test facility at Rajankute, Karnataka. This contract, which also includes ancillary work for GRTE, is valued at ₹90.18 crores and has a completion timeline of 23 months RPP Infra Projects also won a contract worth ₹16.88 crore for constructing a storm water drain from Pon Subbiah Nagar to Loorthammalpuram Main Road in Tuticorin
Adding to this series of wins, Sun Construction-RPP (JV), a joint venture, received approval for a new project aimed at improving the Continuous Water Supply Scheme (CWSS) in Pudukkottai municipality along with three town panchayats and 15 wayside habitations in Pudukkottai district, Tamil Nadu. This project carries a value of ₹74.87 crore (INR100 croreOne of the top gainers on BSE, shares of RPP Infra Projects Ltd surges 12% to make a new 52-week high of Rs 58.40 per share from its previous closing of Rs 52.08 per share. At noon, shares of the company were trading at Rs 57 per share, up 9.45%RPP Infra Projects Limited was established in 1995 and is actively involved in construction projects spanning various infrastructure sectors, including roads, buildings, industrial structures, power, irrigation, and waste management. The company has bagged an order in the financial year 2022-2023. In the current financial year 2023-2024, the company have bagged an order worth Rs 196.53 crore for Jal Jeevan Missan- CWSS to 2 Municipalities, 5 Towns Panchayats and 2306 rural habitations