Railway stocks dip further as Prabhu presents Railway Budget 2016

Get the latest News and Highlights of the Indian Railway Budget 2016 presented by Suresh Prabhu

Railway stocks dipped further as Suresh Prabhu presented Railway budget, wherein  he proposed to increase capital outlay to Rs.1,21 lakh crore. He also proposed to set up two locomotive factories. These new factories will be set up with an order book of Rs. 40,000 crore.  

Second largest freight wagon manufacturer Titagarh Wagons Ltd is currently trading at Rs. 120.8, down by Rs. 2.95 or 2.38% from its previous closing of Rs. 123.75 on the BSE. The scrip opened at Rs. 125.7 and has touched a high and low of Rs. 127 and Rs. 118.3 respectively. So far 7894304(NSE+BSE) shares were traded on the counter. The current market cap of the company is Rs. 1427.88 crore.

Country’s India's leading freight car manufacturers Texmaco Rail & Engineering Ltd is currently trading at Rs. 125.4, down by Rs. 5.65 or 4.31% from its previous closing of Rs. 131.05 on the BSE. The scrip opened at Rs. 133.05 and has touched a high and low of Rs. 134 and Rs. 121.1 respectively. So far 2560634(NSE+BSE) shares were traded on the counter. The current market cap of the company is Rs. 2755.77 crore.

Bharat Forge Ltd is currently trading at Rs. 733.4, down by Rs. 26.45 or 3.48% from its previous closing of Rs. 759.85 on the BSE. The scrip opened at Rs. 764.15 and has touched a high and low of Rs. 767.45 and Rs. 730.05 respectively. So far 457467(NSE+BSE) shares were traded on the counter. The current market cap of the company is Rs. 17689.31 crore.

BEML Ltd is currently trading at Rs. 1016, down by Rs. 1.95 or 0.19% from its previous closing of Rs. 1017.95 on the BSE. The scrip opened at Rs. 1033.95 and has touched a high and low of Rs. 1040 and Rs. 1002.8 respectively. So far 479353(NSE+BSE) shares were traded on the counter. The current market cap of the company is Rs. 4238.74 crore.

Kalindee Rail Nirman (Engineers) Ltd is currently trading at Rs. 129.5, down by Rs. 5.5 or 4.07% from its previous closing of Rs. 135 on the BSE. The scrip opened at Rs. 135 and has touched a high and low of Rs. 136.1 and Rs. 127 respectively. So far 2546349(NSE+BSE) shares were traded on the counter. The current market cap of the company is Rs. 222.89 crore.

Live: Key Highlights of Rail Budget 2016-17

Railway Minister Suresh Prabhu presents his second full budget in the Parliament. 

The key Highlights of Rail Budget 2016-17:

Rail Minister Suresh Prabhu arrives in Parliament to present the Railway Budget 2016.

Railway Budget speech begins in Parliament

Setting aside Rs 50 cr to fund startups by railway employee

2 month internships in Railways for 100 students across Engineering & MBA

To introduce National Rail Plan to harmonise network & set up a new R&D organization

Drones to be used for remote monitoring physical monitoring of ongoing projects.
 
100 terrabytes of data created annually. These to be analysed systematically
 
33% sub-quota for women under all reserved categories.
 
We'll increase the advertising revenue by more than four times this year.
 
We intend to give special focus to exploring advertising potentials at big stations.
 
In-principal nod for MUTP projects received. 

Advertisement at 20000 display screens at 2000 stations to benefit FMCG companies\Other large adspenders

Container sector will be open to all traffic barring coal & select ores
 
India's first rail auto hub to come up in Chennai.

Private parties in a non-operational areas are working with us
 
Will soon inaugurate dedicated rail auto hub in Chennai & explore the possibility of leasing out general purpose wagons

Special purpose vehicle for the Ahmedabad-Mumbai high speech corridor registered this month: rail budget 2016-17.
 
A full-fledged market study on freight basket underway for revival of freight share.
 
We will partner with the Govt. of TN for developing suburban network in Chennai through innovative financing methods.

Railways to increase share of non-tariff revenues from the current level of 5%
 
I propose to invite FM radio stations to provide train borne entertainment via PA systems
 
We intend to publish Rail Bandhu magazine in all regional languages.
 
Elevated rail corridors from Churchgate to Virar and CST to Panvel on the cards.
 
Rail side logistic parks and warehouses proposed for capacity building of terminals
 
We have also revamped our internal audit system with view to bringing in efficiency in working practices.

Rail side logistic parks and warehouses proposed for capacity building of terminals

We have also revamped our internal audit system with view to bringing in efficiency in working practices.

All new Railway stations to be built as per Accessible India guidelines.
 
IRCTC will make available local cuisine of choice, hygienic food.
 
Intend to publish Rail Bandhu magazine in all regional languages

We've introduced Sarthi Seva in Konkan Railways for help to senior citizens; will expand this service.
 
All new Railway stations to be built as per Accessible India guidelines.
 
2 elevated suburban corridors between Churchgate/Virar; CSTM and Panvel
 
Passenger services to be improved at various stations visited by pilgrims

"Coolies" will be called as "Sahayak": Suresh Prabhu

New policy of multi-purpose stalls at station to provide multiple services like milk and medicines.
 
Local cuisine of choice will be made available to passengers
 
Third party audit on catering, we will also enforce reservation for SC/ST and for women in catering: Suresh Prabhu

Introduce Antyodaya Express, superfast train for long routes
 
A sub quota of 33% for women in each of the categories

Introduced Sarthi Seva in Konkan Railways for help to senior citizens
 
Local cuisine of choice will be made available to passengers
 
'Clean my coach' service through sms on pan-india basis

'Clean my coach' service through sms on pan-india basis

IRCTC will begin to manage catering service in phased manner

Introduced Utkrisht double decker air conditioned yartri (UDAY) express with increased carrying capacity of almost 40%
 
To commence ticket sale by hand held devices

National Academy of Railways at Vadodara to be made a full fledged university
 
We will also introduce overnight double-decker trains on the busiest roots
 
We propose to introduce Antyoday Express, a fully unreserved train on dense routes: Suresh Prabhu

Track Mangement System implemented under DigitalIndia

Contracts of 24,000 cr awarded since Nov 2014 Vs 13,000 cr in last 6 Yrs

All contracts for civil engineering works to be awarded soon

World's first Bio-vacuum toilet developed by Indian Railways is being used in Bibrugarh Rajdhani express.

17,000 toilets in 475 stations before this financial year:

All India 24x7 helpline number introduced for safety specially women;CCTV cameras installed

All major stations to be brought under CCTV surveillance in a phased manner

Increasing Senior Citizen Quota By 50%
 
Supporting 1.2 lakh concurrent users now, as opposed to 40,000 earlier
 
Enhanced capacity of eticketing system from 2000 tickets/min to 7,200/min

1780 ticket vending machines were set up, smart cards for cashless and mobile apps used

We will commission 2,800 km of new tracks in next year.

Today there is no barrier between the common passengers and the Railways: Railway Minister Suresh Prabhu

We intend switch over to paperless contract management system where bids will be invited online and tender will be awarded electronically

Schemes being given assent in 6-8 month instead of two years to increase efficiency

New locomotive factories to be set up with an order book of 40,000 crore rupees

Propose To Electrify 2,000 km Of Railway Lines In FY17

Social Media will be used to bring transparency in our working: Suresh Prabhu

We have started recruitment process online for Railways to bring 100% transperancy

Budget reflects the aspiration of Railway family: Suresh Prabhu

We will innovate and optimize the way forward.: Suresh Prabhu
 
India Railways have a saving of 8,720 Cr from previous Budget Estimates: Suresh Prabhu
 
Capital Outlay to increase to Rs. 1,21 lakh crore : Suresh Prabhu

We hope to generate revenues to the order of Rs 1,84,820 Crores: Suresh Prabhu

Next year, we plan to construct 2,800 kms of lines

We would be surpassing the ambitious target of 2,500 Kms of broad gauge line this year

Core objective is to become an engine of employment generation and economic growth at national level.

Action has been taken on 139 budget annoucements in last budget.

Pension Spending In FY17 Targetted At Rs 45,500 Cr
 
More dedicated freight corridors to accommodate the increased demand in freight transport.
 
14 crore mandays of employment to be generated in 2018-19
 
LIC Has Agreed To Fund Rs 1.5 Lakh Cr Over Next 5 Years
 
1,600 km of electrification this year and 2,000 km in the next year are proposed.
 
23 million is the number of passengers railways carry everyday.
 
We are poised to commission broad gauge lines at the rate of 7 km per day against 4.5 km over last five years.
 
Port connectivity and North East connectivity will be priority in this budget

Zicom climbs 4.5% ahead of Rail Budget 2016

Zicom is one the tech firm providing technology assistant to Indian Railways. Stocks of railway-related technology firms have gained momentum ahead of budget.

Zicom surged 4.5% to 72.70 ahead of Railway Budget 2016. Zicom is one the tech firm providing technology assistant to Indian Railways. Stocks of railway-related technology firms have gained momentum ahead of budget. 

The scrip opened at Rs. 69.2 and has touched a high and low of Rs. 73.7 and Rs. 69.2 respectively. So far 46111(NSE+BSE) shares were traded on the counter. The current market cap of the company is Rs. 140.49 crore.

The BSE group 'B' stock of face value Rs. 10 has touched a 52 week high of Rs. 188.9 on 26-Feb-2015 and a 52 week low of Rs. 63 on 12-Feb-2016. Last one week high and low of the scrip stood at Rs. 78 and Rs. 68 respectively.

The promoters holding in the company stood at 20.98 % while Institutions and Non-Institutions held 2.87 % and 76.15 % respectively.

The stock is currently trading above its 200 DMA.

Fiscal Prudence to put cap on public investments in Budget 2016

The government might not be spending a lot given that it had already set a target of keeping the deficit below 3.5% in next fiscal. It might still go for 3.7%-3.8% deficit and increase spendings.

As the budget day nears, most people are discussing about its impact on their personal as well as country’s finances. Mostly, people are divided between the 2 camps. One is pro-growth and wants the government to give up the idea of fiscal prudence and spend more to revive sagging growth. Other camp is of view that not sticking to lower deficit targets might not translate to higher growth.
 
But the government seems to be in favor of taking a balanced approach. This will mean that it will be presenting a budget that is growth-oriented and maintains the growth momentum without spending more than what is necessary. This will address the concerns of corporates about government not spending enough in view of falling private investments. It is also expected that most big-ticket announcements will be to facilitate job creations.
 
The government might not be spending a lot given that it had already set a target of keeping the deficit below 3.5% in next fiscal. It might still go for 3.7%-3.8% deficit and increase spendings. But anything more would threaten the financial stability of the economy. So expectations of a big-bang investment led reforms will not be realized in this budget.
 
RBI has also made it clear that it is in support of government not breaching the deficit target of 3.5%. But there are many who believe that the emphasis should be on growth and not fiscal consolidation. One of the key drivers of the budget will be government’s ability to raise money from various sources. In a slowing global environment, India is being seen a symbol of growth. The budget should therefore focus on retaining India’s position as a place of economic stability and also, of one which is working hard towards ensuring a sustained future growth.

Hey Prabhu! Railway stocks derailed in run-up to budget 2016

what remains interesting to watch is the decision that the minister would take to improve the strained finances of Railways, which could mean increasing the freight or passenger fare rates.

Stocks of companies related to railways sector were mostly trading lower in the range of 0.65-2.15% in the run-up to Railway Budget 2016, which will be presented by its Minister Suresh Prabhu at 12.00 in the noon.  

However, what remains interesting to watch is the decision that the minister would take to improve the strained finances of Railways, which could mean increasing the freight or passenger fare rates. While, raising freight rates may not be a sensible decision right now given that freight tariffs have grown by just 0.3% in January, upping passenger fares seem to be politically unpalatable.

Texmaco Rail & Engineering Ltd is currently trading at Rs. 129.6, down by Rs. 1.45 or 1.11% from its previous closing of Rs. 131.05 on the BSE. The scrip opened at Rs. 133.05 and has touched a high and low of Rs. 134 and Rs. 127.25 respectively. So far 990534(NSE+BSE) shares were traded on the counter. The current market cap of the company is Rs. 2755.77 crore.

Titagarh Wagons Ltd is currently trading at Rs. 124.55, up by Rs. 0.8 or 0.65% from its previous closing of Rs. 123.75 on the BSE. The scrip opened at Rs. 125.7 and has touched a high and low of Rs. 127 and Rs. 121 respectively. So far 3548000(NSE+BSE) shares were traded on the counter. The current market cap of the company is Rs. 1427.88 crore.

Kernex Microsystems (India) Ltd is currently trading at Rs. 37, down by Rs. 0.8 or 2.12% from its previous closing of Rs. 37.8 on the BSE. The scrip opened at Rs. 39.45 and has touched a high and low of Rs. 39.45 and Rs. 36.1 respectively. So far 34086(NSE+BSE) shares were traded on the counter. The current market cap of the company is Rs. 47.25 crore.

Kalindee Rail Nirman (Engineers) Ltd is currently trading at Rs. 133.5, down by Rs. 1.5 or 1.11% from its previous closing of Rs. 135 on the BSE. The scrip opened at Rs. 135 and has touched a high and low of Rs. 136.1 and Rs. 130.9 respectively. So far 805814(NSE+BSE) shares were traded on the counter. The current market cap of the company is Rs. 222.89 crore.

Sadbhav Infrastructure surges 4%

Due to violence n in the state of Haryana, toll operation of our Subsidiary company Rohtak Panipat Tollway Private Limited has been temporarily affected from February, 17, 2016 till date.

Sadbhav Infrastructure Project Ltd has announced that due to agitation/violence currently going on in the state of Haryana, Toll operation of  its subsidiary company Rohtak Panipat Tollway Private Limited has been temporarily affected from February, 17, 2016 till date.

Sadbhav Infrastructure Projects Ltd is currently trading at Rs. 83.5, up by Rs. 2.9 or 3.6% from its previous closing of Rs. 80.6 on the BSE.

The scrip opened at Rs. 83.5 and has touched a high and low of Rs. 83.5 and Rs. 83.5 respectively. So far 222(NSE+BSE) shares were traded on the counter. The current market cap of the company is Rs. 2838.94 crore.

The BSE group 'B' stock of face value Rs. 10 has touched a 52 week high of Rs. 112.25 on 16-Sep-2015 and a 52 week low of Rs. 66.3 on 15-Feb-2016. Last one week high and low of the scrip stood at Rs. 83.45 and Rs. 76 respectively.

The promoters holding in the company stood at 68.95 % while Institutions and Non-Institutions held 10.11 % and 20.94 % respectively.

The stock is currently trading above its 100 DMA.

Syndicate Bank to consider equity issue to LIC on Feb 29

The Board of Directors of the Bank will be held on February 29, 2016, for considering issuance of equity shares of the face value of Rs. 10/- each by way of preferential allotment in favour of LIC of India.

Syndicate Bank has informed BSE that a meeting of the Board of Directors of the Bank will be held on February 29, 2016, for considering issuance of equity shares of the face value of Rs. 10/- each by way of preferential allotment in favour of LIC of India.

Stock view:

Syndicate Bank is currently trading at Rs. 51.35, down by Rs. 0.4 or 0.77% from its previous closing of Rs. 51.75 on the BSE.

The scrip opened at Rs. 52 and has touched a high and low of Rs. 52.1 and Rs. 51.2 respectively. So far 649747(NSE+BSE) shares were traded on the counter. The current market cap of the company is Rs. 3426.16 crore.

The BSE group 'A' stock of face value Rs. 10 has touched a 52 week high of Rs. 127.5 on 04-Mar-2015 and a 52 week low of Rs. 49.4 on 17-Feb-2016. Last one week high and low of the scrip stood at Rs. 53.6 and Rs. 51 respectively.

The promoters holding in the company stood at 69.24 % while Institutions and Non-Institutions held 17.73 % and 13.03 % respectively.

The stock is currently trading above its 200 DMA.

IVRCL rallies 6%; to convert loans into 51% equity holding

The company has decided to convert part of their loans to the highways developer into a 51 percent or more equity holding.

IVRCL Ltd rallied 6% to Rs.7.45 after the company has informed BSE that State Bank of India, Monitoring Institution acting on behalf of the lenders has informed the Company that JLF at the meeting held on February 23, 2016 have approved the SDR conversion package and that the Lenders will convert part of the debt of the Company into equity, in one or more tranches, at the price of Rs. 8.765/- per equity share of face value of Rs. 2/- each, enabling the lenders to collectively hold 51% or more of the total share capital of the Company, pursuant to provisions of SEBI (Issue of Capital and Disclosure Requirement) Regulations, 2015 read with RBI Circular on SDR.

The scrip opened at Rs. 7.2 and has touched a high and low of Rs. 7.69 and Rs. 7.2 respectively. So far 934424(NSE+BSE) shares were traded on the counter. The current market cap of the company is Rs. 384.01 crore.

The BSE group 'B' stock of face value Rs. 2 has touched a 52 week high of Rs. 21.3 on 03-Mar-2015 and a 52 week low of Rs. 6.2 on 12-Feb-2016. Last one week high and low of the scrip stood at Rs. 7.8 and Rs. 6.7 respectively.

The promoters holding in the company stood at 7.69 % while Institutions and Non-Institutions held 37.32 % and 55 % respectively.

The stock is currently trading above its 200 DMA.

Lupin gains 2%; plans to invest in Japan

The company is planning to make significant investments in Japan, says report.

Lupin stock was up by 2% at Rs. 1792. Report says that the company is planning to make significant investments in Japan.

The scrip opened at Rs. 1765.05 and has touched a high and low of Rs. 1798 and Rs. 1765.05 respectively. So far 161746(NSE+BSE) shares were traded on the counter. The current market cap of the company is Rs. 79395.18 crore.

The BSE group 'A' stock of face value Rs. 2 has touched a 52 week high of Rs. 2127 on 06-Oct-2015 and a 52 week low of Rs. 1589.4 on 14-May-2015. Last one week high and low of the scrip stood at Rs. 1820 and Rs. 1733 respectively.

The promoters holding in the company stood at 46.53 % while Institutions and Non-Institutions held 43.56 % and 9.92 % respectively.

The stock is currently trading below its 200 DMA.

Dishman Pharma soars 6.5%; board approves 1:1 bonus share issue

The stock has rallied after the board recommended a 1:1 bonus share subject to shareholders’ approval.

Dishman Pharmaceuticals and Chemicals Ltd soared 6.5% to Rs.324.70 on BSE. The company has informed BSE that the Board of Directors of the Company at its meeting held on February 24, 2016, inter alia, has considered and recommended a bonus issue of equity shares in the ratio of 1 equity share for every 1 equity share held, as on the record date to be determined by the Board.

The scrip opened at Rs. 313 and has touched a high and low of Rs. 327.25 and Rs. 313 respectively. So far 561088(NSE+BSE) shares were traded on the counter. The current market cap of the company is Rs. 2463.77 crore.

The BSE group 'B' stock of face value Rs. 2 has touched a 52 week high of Rs. 419.7 on 04-Nov-2015 and a 52 week low of Rs. 126.05 on 03-Jun-2015. Last one week high and low of the scrip stood at Rs. 318 and Rs. 290.1 respectively.

The promoters holding in the company stood at 61.4 % while Institutions and Non-Institutions held 23.87 % and 14.73 % respectively.

The stock is currently trading below its 100 DMA.

Moody's: Global banks' credit risks to low oil prices rising

In a new report on global banks' credit risks from falling oil-prices, Moody's said there is a substantial risk that any price recovery may evolve much more slowly in the medium-term, noting there is some risk that prices could fall even further.

The deepening oil price slump will intensify pressure on banks globally, with those in major net oil-exporting countries most exposed to credit risks in the near-term, said Moody's Investors Service.

In a new report on global banks' credit risks from falling oil-prices, Moody's said there is a substantial risk that any price recovery may evolve much more slowly in the medium-term, noting there is some risk that prices could fall even further. On 21 January 2016, the ratings agency reduced its forward-looking price estimates in light of continued over supply and tepid demand growth in global energy markets.

Moody's expects the credit risk for banks in regions which are net oil-exporting will increase as their direct and indirect exposures to low oil prices raise the potential for asset quality deterioration. Still, the ratings agency said that while lower-oil-price implications for global banks' earnings and solvency appear broadly manageable, low oil prices could still test the creditworthiness of some banks across its global rated portfolio.

"We believe the 'lower-for-longer' scenario for oil prices is the base case scenario, and expect that banks in oil-exporting regions will likely see increased risk to creditors as banks' adjust to this new normal," said Moody's Managing Director Frederic Drevon.

Moody's noted that banks' corporate lending exposures and capital markets-related activity and exposures could drive downward pressure on their credit profiles, particularly banks in net oil exporting regions. Moody's analysts also noted that a decline in consumer spending or pressure on GDP growth driven by low oil prices could result in pressure on banks' asset quality and earnings.

While banks in countries where the oil industry is largely government-owned and/or governments are reliant on oil-related revenues might be less exposed to loan delinquencies given government support to the oil & gas industry, Moody's noted that governments' flexibility and/or willingness to support banks that are suffering oil & gas-related losses may decline as the countries fiscal position continues to deteriorate with lower oil prices.