Rites share price jumped by 13% during Monday’s trading session following the announcement that the Northeast Frontier Railway had significantly increased its project estimates. The new estimate now stands at ₹531.77 crore, a remarkable rise from the previous figure of ₹288.44 crore. This surge reflects positive market sentiment for the stock and confidence in the company’s prospects as it adapts to the new financial parameters, believes experts. Rites share price today opened at ₹288.05 apiece on the BSE, the stock touched an intraday high of ₹310 apiece, and an intraday low of ₹286.30 per share.
According to Rajesh Bhosale, Equity Technical and Derivative Analyst at Angel One, Rites share price has seen a sharp bounce in today’s session, more than 10% in the first couple of hours. This bounce has been from a crucial support of 89 WEMA placed around 280 levels. Expect this bounce to continue with 330; the 200 DSMA is seen as the next hurdle. The bullish gap left today around 285 is seen as pivotal support.
The project focuses on railway electrification for the LMG-BPB section of the Lumding division in the Northeast Frontier Railway, and it will be undertaken on a turnkey basis. The updated project estimates are expected to enhance Rites’ order book, which currently stands at ₹2,000 crore for the first half of FY25. This development signals positive growth prospects for Rites and underscores the ongoing investment in railway infrastructure in the region.
