Best Railway Stock to Invest: India has the world’s fourth-largest railway network. Indian Railways operates 9,146 freight trains and 13,523 passenger trains daily along a 126,366-kilometer network. However, Indians still face a lack of contemporary amenities and a paucity of train tickets.

The Indian government has started several projects to upgrade the country’s railways. The first is modernization, which includes electrifying trains and acquiring new rail sets. The second is digitization, which will improve safety and efficiency. Kavach, the native Train Collision Avoidance System (TCAS), was also introduced. Railways have undergone huge developments recently. Let’s now understand various parameters of RNVl and Ircon International.

1. Rail Vikas Nigam (RNVL)

The Ministry of Railways’ primary implementation arm is RVNL. The nation’s railway infrastructure is being developed and modernized in large part thanks to this public sector project. From project planning to railway project execution, this company handles and takes care of the project from start to end. Its projects include substantial bridge construction, gauge conversion, new lines, railway electrification, and doubling. It also works on metro developments in several cities.

The business has a history of expediting the completion of projects. Since its start, it has helped double more than 35% of railroads and electrify more than 25% of them. As part of its global expansion, RVNL has finished projects in the Maldives and intends to submit bids for projects in Peru, Oman, and Abu Dhabi. According to the research analysts, it is suggested that there is going to be huge wealth generation in the long term. It is also said that this is the best time for investors to hold their stocks.

Also Read: Bootstrapping vs Venture Capital: Which Funding Path Works in 2025?

2. Ircon International:

Originally a railway construction company, Ircon International is currently a company that combines engineering and construction. One of the Navratna corporations, it works on technologically challenging infrastructure projects in a number of industries, such as roadways and railroads. For projects in the railroad and transportation industries, the organization also provides full project management services, from planning to commissioning. It also started working on real estate projects and develops, builds, and leases office space.

The business has received numerous orders throughout the years thanks to the government’s strong support. The company has completed more than 400 projects in India and 130 projects in 25 other countries in the past 50 years. BHEL, NTPC, the Ministry of Transport, the Sri Lankan government, and Bangladesh Railways are a few of its customers. According to the research analysts, RNVl is the bigger company compared to Ircon International. Their market cap is four times bigger than Ircon International’s market cap.

How does Ircon International generate Revenue?

Build, operate, and transfer (BOT) or hybrid annuity mode (HAM) projects, engineering, procurement, and construction (EPC) projects, and project management consulting are the main sources of income for Ircon International. In contrast, RVNL makes money from the infrastructure and building projects it works on. In terms of profit growth, Ircon International is leading compared to RNVl.

Also Read: Indian Stock Market Outlook Today: 7 Key Global Cues to Know

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