Shares of Indian Railway Catering and Tourism Corporation Ltd (IRCTC) fell over 2 per cent in early trade after the firm announced earnings for the quarter ended March 2022. The stock opened higher at Rs 705.90 and rose 2.68 per cent to Rs 713.45 within minutes of opening. However, it saw profit-booking and fell after two days of consecutive gains.
The share had gained 6.41 per cent or Rs 42 in the previous two sessions. The share which closed at Rs 652.95 on May 27 ended at Rs 694.85 on May 30.
Ahead of the earnings yesterday, the stock zoomed 9.23 per cent to Rs 712.6 on BSE.
In today's session, IRCTC stock slipped 2.49 per cent to Rs 677.75 against the previous close of Rs 694.85 on BSE. Market cap of the firm fell to Rs 55,276 crore on BSE.
At 10:56 am, the stock was trading 0.35 per cent to Rs 692.40 on BSE. The stock hit a 52-week high of Rs 1,278.60 on October 19, 2021 and a 52-week low of Rs 377.4 on June 1, 2021.
IRCTC share is trading higher than 5-day and 20-day moving averages but lower than 50-day, 100-day and 200-day moving averages.
The stock has lost 16.68 per cent since the beginning of this year and risen 82.22 per cent in one year. Total 2.30 lakh shares changed hands amounting to a turnover of Rs 15.92 crore on BSE.
AR Ramachandran, Co-founder & Trainer, Tips2Trades said, "Despite strong Q4FY22 earnings as compared to last year where both revenue and profits have beaten estimates, market seems to have already factored in the good results. Technically, till IRCTC stock doesn't close above Rs 711, trend could remain sideways to even negative. Strong support can be seen at Rs 662."
IRCTC reported a 105.7 per cent jump in net profit at Rs 213.78 crore in Q4. The catering and tourism arm of Indian Railways reported a net profit of Rs 103.78 crore in the year-ago period, mostly due to COVID-19 woes.
Revenue from operations zoomed 104 per cent to Rs 691 crore in the March quarter as against Rs 339 crore in the corresponding quarter of last fiscal.
Total income more than doubled to Rs 716.79 crore in Q4FY22 from Rs 358.25 crore in Q4FY21.
The board also recommended a final dividend of Rs 1.50 per share of face value of Rs 2 each for the financial year 2021-2022, subject to the approval of shareholders in the upcoming Annual General Meeting (AGM). The final dividend is in addition to the interim dividend of Rs 2 per share, the company said.
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