IRFC shares jump 5%—what's behind the rally?
IRFC shares shot up over 5% on Tuesday, stretching a three-day winning streak and hitting ₹122.88 by midday.
This bounce comes after a big 55% drop from July's peak, giving investors a 9% return in just three days.
Why does it matter?
This rebound is all about renewed faith in railway spending as the Union Budget approaches.
IRFC outperformed the sluggish Sensex, showing that railway stocks are catching fresh attention—even when the broader market is pretty flat.
What's fueling the surge?
Massive trading volumes—three crore shares traded by noon, way above average—point to strong investor interest.
Other railway companies like Jupiter Wagons and IRCON also rallied, while Indian Railways's fare hike is expected to boost IRFC's revenue outlook.
One thing to watch
The government still owns 86% of IRFC and plans to reduce its stake, which could affect prices down the line.
For now though, investors seem upbeat about where IRFC is headed.