This casting & forging company stock has zoomed 107% in less than 10 months.
Shares of Ramkrishna Forgings hit a record high of Rs 310, as they soared 10 per cent on the BSE in Thursday’s intra-day trade amid heavy volumes. The stock of casting & forging company surpassed its previous high of Rs 290.75, touched on March 15, 2023. In less than 10 months, the market price of Ramkrishna Forgings has zoomed 107 per cent from level of Rs 149.55 on June 22, 2022. In past one year, it has rallied nearly 70 per cent, as against 0.39 per cent rise in the S&P BSE Sensex. The consortium of Ramkrishna Forgings and Titagarh Wagons (RKFL-TWL Consortium) had received a Letter of Award (LOA) on Wednesday from the Ministry of Railways, Government of India w.r.t ‘Manufacturing and Supply of Forged Wheels under long term agreement under Aatma Nirbhar Bharat’.
The company said the size of contract was Rs 12,226.50 crore for manufacturing and supply of 1.54 million forged wheels of different rolling stocks to the Ministry of Railways over a period of 20 years in accordance with the terms and conditions of the agreement. At 02:58 PM; Ramkrishna Forgings traded 9 per cent higher at Rs 306.70, as compared to 0.27 per cent gain in the S&P BSE Sensex. The average trading volumes at the counter jumped nearly five-fold today. A combined 2.5 million equity shares of the company changed hands on the NSE and BSE. Indian Railways has been focused on pursuing growth with emphasis on the Make in India policy under Aatma Nirbhar Bharat initiative of the Government.
The consortium will set up a manufacturing facility in India for forged wheel production and will supply approximately 1.6-million-wheel discs of different rolling stocks of Indian Railways over a period of 20 years at about 80,000 wheels per annum. The Annualized installed capacity of Ramkrishna Forgings after commissioning of Hollow Spindle Line, a new 7000 Ton Press Line, a 2000 Ton warm/hot Forming Press and a fabrication facility is 187,100 MT. Over the years, the company increased its forging and die-making capacities and added machining and heat treatment facilities, including isothermal annealing, which enabled it to undertake manufacturing of components for OEMs and Tier 1 companies.
Ramkrishna Forgings is a preferred supplier to OEMs like Tata Motors, Ashok Leyland, VE Commercial and Daimler in India and to Volvo, Mack Trucks, Iveco, DAF, Scania, MAN, UD Trucks and Ford otosan in the overseas markets. It supplies globally to Tier 1 axle manufacturers like Dana, Meritor and American Axles.
Courtesy by.
Business-Standard
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