Railway stocks rally: RVNL, IRFC, BEML gain up to 11%; Here’s why

On Friday, May 16, 2025, railway shares experienced significant buying interest, with various stocks climbing as much as 11 percent on the final trading day of the week.

The rise in railway shares was driven by companies such as Titagarh Rail, RVNL, IRFC, and BEML. Titagarh Rail Systems was the leading gainer, rising 10.72 percent to ₹895.85, with RVNL following closely, increasing 10.45 percent to ₹415.20 per share.

Other leading gainers were RailTel, which increased by 8.52 per cent to ₹392.85; Jupiter Wagons, rising 8.20 per cent to ₹420; and Ircon International, which gained 8.11 per cent to reach ₹191.90.

Other railway and related shares also saw significant increases. BEML increased by 7.01 per cent to ₹3,628.75, IRFC climbed 6.75 per cent to ₹139, Texmaco Rail improved 6.55 per cent to ₹164.90, IRCTC went up 3.35 per cent to ₹811.30, and CONCOR ascended 2.31 per cent to ₹706.15.

Ravi Singh, the senior vice president of retail research at Religare Broking, states that the surge in railway stocks is indicative of a broader optimistic trend in the Indian stock market, especially in the SmallCap sector, which has experienced gains exceeding 8 percent this week.

Singh noted that this revived momentum comes after two important events that boosted investor confidence, such as the declaration of a ceasefire between India and Pakistan and favorable advancements in the US-India trade discussions. These geopolitical and economic advantages have spurred optimism in lower-priced stocks, which are typically favored by retail investors.

Conversely, G Chokkalingam, the founder and head of research at Equinomics Research, characterized the ongoing market trend in railway stocks as a strategic rally and recommended that investors secure profits at these levels. At the individual stock level, RVNL reported that it has obtained an order valued at roughly Rs 116 crore from Central Railway.