GR Infraprojects shares rise after company emerges as lowest bidder for NHAI project worth Rs 1,085 crore

Shares of GR Infraprojects on Thursday rose 2.13 per cent to settle at Rs 1,272.60 over their previous close of Rs 1,246.10. At today's closing price, the stock has gained 36.84 per cent from its 52-week low of Rs 930, hit on March 28, 2023. That said, it has slipped 11.92 per cent from its one-year high of Rs 1,444.75, a level seen on August 10 last year. Today's upward move on the counter came after the company announced that it has emerged as the lowest bidder for a National Highways Authority of India (NHAI) project.

A total of 5,546 shares changed hands today on BSE, which was higher than the two-week average volume of 3,297 shares. Turnover on the counter stood at Rs 70.12 lakh, commanding a market capitalisation (m-cap) of Rs 12,304.64 crore.

The company, in an exchange filing, said it has emerged as the lowest bidder for a project four laning of NH 530B from Kasganj Bypass End (Existing Km. 150.100 of NH 530B/ Design Km. 123.100) to Chandan Nagar (Existing Km 96.200 of NH 530B/Design Km. 179.500) section of NH 530B in Uttar Pradesh on HAM mode – Package 3.

GR Infra said the project is worth Rs 1,085.47 crore and it has to be completed in 730 days. The operation period is of 15 years, it added.

"In accordance with the provisions of the Sebi (Prohibition of Insider Trading) Regulations, 2015 and the company's Code of Prohibition of Insider Trading, the trading window for dealing in the securities of the company for all designated persons shall remain close up to the completion of 48 hours after the announcement," it further stated.

The stock traded higher than the 5-day, 20-, 50-, 100- and 200-day moving averages. The counter's 14-day relative strength index (RSI) came at 69.13. A level below 30 is defined as oversold while a value above 70 is considered overbought. The company's stock has a price-to-earnings (P/E) ratio of 14.15. It has a price-to-book (P/B) value of 2.31.

The scrip has an average target price of Rs 1,593.33, Trendlyne data showed, suggesting a potential upside of 24.64 per cent. It has a one-year beta of 0.40, indicating low volatility on the counter.

The company's business operations are segmented into four categories, Engineering Procurement and Construction (EPC) and Project Management services for roads & highways, bridges, airport runway, railways, metros, power transmission and tunneling; development, operations and maintenance of roads and highway; manufacturing activities for bitumen processing, thermoplastic road-marking paint, road signage, electronic equipment; and fabrication of galvanized metal crash barriers and OHE Mast.

Meanwhile, Indian equity benchmarks fell sharply today, halting their three-day winning run. The domestic indices traded lower, dragged by banks, financials and technology stocks.