Indian Railway Finance Corporation (IRFC) Shares Reach New Heights Jumps 6% To Hit One-Year High: Is It Time to Take Profits or Can We Expect Further Upside?

Indian Railway Finance Corporation (IRFC) Shares Reach New Heights Jumps 6% To Hit One-Year High: Is It Time to Take Profits or Can We Expect Further Upside?

Indian Railway Finance Corporation Ltd (IRFC) shares have been on a remarkable upward trajectory, surging 6.06% to reach a one-year high of Rs 109.30, surpassing its previous close of Rs 103.06. This multibagger stock has exhibited an impressive rally, boasting a remarkable 238% gain over the past year.

 

Indian Railway Finance Corporation (IRFC) Shares Reach New Heights Jumps 6% To Hit One-Year High

Indian Railway Finance Corporation (IRFC) Impressive Performance

Indian Railway Finance Corporation (IRFC) shares stellar performance has garnered attention, with trading volumes soaring to 2.65 crore shares in the most recent session, significantly surpassing the two-week average volume of 85.93 lakh shares. The robust trading activity translated to a turnover of Rs 283.28 crore, contributing to a substantial market capitalization of Rs 1,39,584.71 crore.

 

Analyst Insights on Indian Railway Finance Corporation (IRFC) Shares Future

While the stock has witnessed a substantial surge, analysts provide varying perspectives on its future trajectory. AK Prabhakar, Head of Capital at IDBI Capital, suggests that the upside may be limited, recommending potential profit booking as the stock could find support around Rs 100. On the contrary, Osho Krishan, Senior Research Analyst at Angel One, highlights the stock's inherent strength and consolidation breakout, predicting potential targets of Rs 112, followed by Rs 118-120 in the short to medium term.

 

Shiju Koothupalakkal, Technical Research Analyst at Prabhudas Lilladher, is optimistic about IRFC's chart outlook, suggesting an entry point with a stop loss at Rs 100 and anticipating targets of Rs 114 and Rs 126. Meanwhile, AR Ramachandran from Tips2trades advises caution, stating that IRFC is overbought on daily charts, and investors should consider booking profits, especially if the stock closes below the support level of Rs 101.

 

DRS Finvest founder Ravi Singh sees the potential for IRFC to reach Rs 120 in the near term, advising a stop loss at Rs 103 to manage risk.

 

Understanding Indian Railway Finance Corporation (IRFC) Role In Stock Market

IRFC plays a vital role in financing the acquisition or creation of assets, which are then leased out to the Indian Railways or entities under the Ministry of Railways. As of September 2023, promoters held a significant 86.36% stake in this 'Navratna' PSU.

 

Conclusion

While Indian Railway Finance Corporation (IRFC) shares recent performance has been impressive, investors should carefully consider the diverse opinions of analysts and their risk tolerance before deciding whether to book profits or ride the potential for further upside. As always, staying informed about market trends and conducting thorough research is crucial for making informed investment decisions in dynamic financial markets.