Home >Markets >Stock Markets >Three reasons why IRCTC shares are surging

IRCTC share price: The Indian Railway Catering and Tourism Corporation (IRCTC) shares today once again scaled new high when it hit 2,398.80 per stock mark — logging around 5.5 per cent rise in the IRCTC share price today. In the last one month, the Indian Railways' PSU stock has surged around 14.5 per cent and scaling new high has become a regular phenomena for the IRCTC stock. According to stock market experts, IRCTC will further go northward as three triggers are working in favour of this counter — acceleration in unlock activities, rise in rail infrastructure spending and more private trains running on the railway tracks in future.

Speaking on the reasons for rise in IRCTC share price; Ravi Singhal, Vice Chairman at GCL Securities said, "IRCTC share price is skyrocketing due to three major reasons — acceleration in unlock activities, rise in rail infra spending and news of more private trains to run on the Indian Railway tracks. These three triggers are cohesively working in favour of IRCTC shares as in current circumstances IRCTC's main footfall comes from online Indian Railway's ticket booking. But, after the improvement in rail infrastructure more private trains are expected to come and hence IRCTC would be coming in with more private trains opening new avenue for revenue for the company. These three triggers are expected to further continue working in favour of the stock's rally."

IRCTC share price target

Standing in sync with Ravi Singhal's views; Mudit Goel, Senior Technical Analyst at SMC Global Securities said, "IRCTC shares have recently given a breakout at 2320 and has managed to sustain above this level. So, the overall chart pattern of the IRCTC stocks look positive and it is expected to go up to 2600 by the end of July 2021."

On his suggestion to the fresh buyers in regard to IRCTC shares Ravi Singhal of GCL Securities said, "One can buy IRCTC shares at around 2390 for targets of 2477, 2566 and 2600 in immediate short term maintaining stop loss below 2320."

Subscribe to Mint Newsletters
* Enter a valid email
* Thank you for subscribing to our newsletter.

Never miss a story! Stay connected and informed with Mint. Download our App Now!!

Edit Profile
My ReadsRedeem a Gift CardLogout