2 days ago
8000% rally in five years! Multibagger railway stock hits 5% upper circuit despite stock market crash; here's why
Kernex Microsystems share price hit 5% upper circuit on Friday despite a sharp fall in the Indian stock market today. Kernex Microsystems shares were locked at 5% upper circuit of ₹ 1,300.75 apiece on the BSE.
The rally in Kernex Microsystems India shares comes after the railway company announced that Southern Railways has issued letters of acceptance to its Joint Venture for two projects.
In a regulatory filing on June 13, Kernex Microsystems India said that the Southern Railways, Chennai has issued a Letters of Acceptances (LOA) to Kernex-VRRC consortium for two projects amounting to ₹ 311.03 crore.
The first LoA is for the provision of Kavach (Train Collision Avoidance System), in three sections of Chennai Division in Southern Railway for ₹ 173.11 crore.
The second LoA is for the provision of Kavach along with Tower and 48 Fiber OFC as back bone network in Arakkonam - Jolarpettai Section of Chennai Division in Southern Railway for ₹ 137.92 crore.
Kernex Microsystems said it is a partner of the said Joint Venture with a share of 60%. The accepted bid costs for the projects are ₹ 311.03 crore, and the completion period is 730 days and 540 days from the date of LoA.
Kernex Microsystems share price has rallied 64% in one month and over 88% in the past three months. The railway stock has fallen 8% on a year-to-date (YTD) basis, but has jumped by a staggering 246% in one year.
The small-cap stock has delivered multibagger returns of 295% in two years and nearly 8,000% in the past five years.
At 1:45 PM, Kernex Microsystems share price was trading still locked at 5% upper circuit at ₹ 1,300.70 apiece on the BSE.
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