NCC Discloses Order Book for October, Shares React

Shares of NCC Ltd were trading in the red on November 4, 2024, as the broader market experienced a downturn. Despite the company revealing that it had secured new orders worth Rs 3,496 crore in October, the stock slipped 1.6% to Rs 307.50, down from the previous close of Rs 301.80 on the Bombay Stock Exchange (BSE). This decline came even as the company reported robust growth in its order book, signaling healthy prospects for the infrastructure player.

NCC Ltd, an infrastructure major engaged in construction and project development, disclosed that it had won orders across multiple divisions. Of the total Rs 3,496 crore in new orders, Rs 2,694 crore was attributed to its Building Division, Rs 538 crore to its Electrical Division, and Rs 274 crore to its Water and Other Divisions. These orders, which were sourced from both government agencies and private entities, include various high-value projects in industrial and commercial buildings, roads, bridges, housing, and water supply systems, as well as power transmission lines and hydrothermal power projects. The fact that these orders came from both state and central government agencies, along with private companies, is seen as a positive development, providing diversification and stability to the company’s revenue streams.

Despite the order wins, NCC Ltd’s stock saw a decline due to the broader market crash, which impacted the overall market sentiment. In terms of performance, NCC’s stock has witnessed impressive growth over the past year, appreciating by 107.65%, and over the past two years, it has surged by a remarkable 329.71%. With a market capitalization of Rs 19,365 crore, the company remains one of the key players in India’s infrastructure space.

Technically, NCC Ltd’s Relative Strength Index (RSI) stands at 59, indicating that the stock is neither overbought nor oversold, suggesting a balanced momentum. Moreover, with a one-year beta of 2, the stock remains highly volatile, reflecting sharp fluctuations in its price.

NCC Ltd’s growth is attributed to its extensive involvement in infrastructure projects across various sectors, from construction of roads, bridges, and buildings to water supply and environmental projects. As one of the leading companies in India’s infrastructure sector, NCC continues to benefit from the government's focus on improving infrastructure, which is expected to drive future growth.

Investors are advised to stay informed of market movements and consider consulting financial advisors before making any investment decisions, as market conditions remain unpredictable.

Reference from :- https://www.businesstoday.in/markets/company-stock/story/ncc-discloses-order-book-for-october-shares-react-452446-2024-11-04