GR Infra jumps:
Shares of GR Infraprojects rose over 4 per cent to Rs 1,012 per share in Thursday’s intra-day trade after it emerged as the L-1 bidder for the Rs 872.17-crore six-lane project in Maharashtra. In comparison, the S&P BSE Sensex was trading at 58,045, down 170 points, at 9:55 am.
In the last one week, shares of this construction firm gained 1.7 per cent, while the S&P BSE Sensex gained 0.2 per cent.
Earlier, the stock had hit a 52-week high of Rs 1,624 on June 18, 2022, however, it later hit a 52-week low of Rs 960 on March 22, 2023.
On Tuesday, March 22, the company managed to bag an order from the National Highways Authority of India (NHAI) for six-laning of the Surat-Nashik-Ahmednagar-Solapur-MH/KNT border greenfield stretch in Maharashtra, which will be implemented on hybrid annuity mode. (HAM) is on. Under the project ‘Bharatmala Project’.
While the project is estimated to be completed within 730 days from the due date, it is likely to start operations in 15 years from the date of commercial operation.
Besides this, earlier this month, the company has also bagged two other projects worth over Rs 1,800 crore.
On March 17, 2023 GR Infra emerged as the L-1 bidder for the construction of tunnel and associated works of Khurda-Bolangir new rail line project in East Coast Railway. On the other hand, the company also received an order by NHAI on March 9, 2023, to build the six-lane greenfield Varanasi-Ranchi-Kolkata highway in Bihar.
Analysts at Axis Securities believe that the company’s strong pipeline of EPC (engineering, procurement and construction) and HAM projects as well as in railways, ropeways and T&D will enable the company to capture growth opportunities in this sector.
“With a strong order book and proven execution skills, we expect the company to register revenue/EBITDA/PAT growth of 8 per cent/9 per cent/13 per cent CAGR, respectively, over FY 2022-24E,” the brokerage firm said. With ‘buy’ rating on the counter, and a target price of Rs 1,550 per share.
