Ashoka Buildcon Bags Big
- 22nd April 2025
Aaj Ka Bazaar
Wall Street indices rebounded on Tuesday, recovering from the previous day’s losses and closing in positive territory after US President Donald Trump announced plans to ease tariff rates on China. He also clarified that he has “no intention” of removing Federal Reserve Chair Jerome Powell. The Dow Jones Industrial Average gained 2.66%, the S&P 500 rose 2.51%, and the Nasdaq Composite advanced 2.71%. Markets in the Asia-Pacific region also experienced a relief rally, trading in the green following Trump’s remarks on easing trade tensions with China. Taking cues from the global market recovery and the potential easing of trade tensions, Indian benchmark indices are expected to open on a positive note. This is further supported by GIFT Nifty trading higher. On the stock-specific front, Ashoka Buildcon Limited received a Letter of Acceptance (LoA) for a ₹568.86 crore project from Central Railway. The project involves gauge conversion work between Pachora and Jamner in Maharashtra, including earthworks, construction of major and minor bridges, road under-bridges (RUBs), permanent way works, and other related civil infrastructure.
Markets Around Us
BSE Sensex – 80,090.07 (0.62%)
Nifty 50 – 24,318.15 (0.62%)
Bank Nifty – 55,883.50 (0.42%)
Dow Jones – 39,632.78 (1.14%)
Nasdaq – 16,300.42 (2.71%)
FTSE – 8,328.60 (0.64%)
Nikkei 225 – 34,916.67 (2.03%)
Hang Seng – 22,077.33 (2.35%)
Sector: Civil Construction
Ashoka Builcon share surge
Ashoka Buildcon shares rose 4% in early trade on April 23 after the company received a Letter of Acceptance (LoA) from Central Railway for a ₹568.86 crore infrastructure project. This contract involves construction work for gauge conversion over a 53.3 km stretch between Pachora and Jamner, excluding some specific areas, and must be completed within 30 months. At 09:16 am, the stock was trading at ₹206 on the BSE, up ₹8. This marks the fourth straight session of gains for the stock. Earlier this month, Ashoka Buildcon also sold a 51% stake in its renewable energy subsidiary and secured another LoA worth ₹311.92 crore from the Maharashtra electricity board. The stock is currently 35% below its 52-week high of ₹319 (hit on Dec 31, 2024), but 30% above its 52-week low of ₹158 (touched on April 7, 2025). The company’s market cap now stands at ₹5,782.90 crore.
Why it Matters:
This matters because the ₹568.86 crore railway project win adds significant value to Ashoka Buildcon’s order book, strengthening its revenue outlook over the next 30 months. Consistent project wins also highlight the company’s strong execution capabilities and market credibility, which builds investor confidence. The recent stock rally reflects this positive momentum, indicating potential for further upside if the company continues to secure and deliver large-scale infrastructure contracts.
NIFTY 50 GAINERS
HCLTECH – 1581.70 (6.88%)
TECHM – 1434.90 (4.24%)
INFY– 1468.40 (3.20%)
NIFTY 50 LOSERS
SBILIFE – 1609.90 (-0.56%)
KOTAKBANK – 2260.10 (-0.38%)
BAJFINANCE- 9227.00 (-0.36)
Sector : IT
HCL Tech Surges 7%
HCL Technologies’ shares jumped over 7% to ₹1,587 on April 23 after the company posted its Q4FY25 results, which were mostly in line with market expectations. The company reported a 6% year-on-year increase in revenue to ₹30,246 crore and an 8% rise in net profit to ₹4,307 crore. Its EBIT margin stood at 18.3%, within its guided range. For the full fiscal year FY25, HCL saw a 6.5% growth in revenue and a 10.8% rise in profit. While the company offered slightly better-than-expected revenue guidance for FY26 at 2–5% growth in constant currency terms, its management remained cautious, citing uncertainty in the market and weak performance in new deal wins. This has tempered investor enthusiasm, despite the sharp jump in share price. The results indicate stability, but growth in the coming quarters may be moderate due to a challenging environment.
Why it Matters:
HCL Tech’s strong Q4 results highlight its ability to stay stable in a weak market. While revenue and profit grew, the cautious outlook and lower deal wins suggest growth may slow down in FY26. Despite this, the 7% stock surge shows investors welcomed the clarity and guidance.
Around the World
Asian stock markets jumped on Wednesday, following a strong rally on Wall Street after U.S. President Donald Trump suggested he might reduce trade tariffs on China. His softer tone, along with remarks from Treasury Secretary Scott Bessent calling the trade war unsustainable, boosted investor sentiment. Hong Kong and Japan led the gains, rising around 2%, while tech stocks across Asia rebounded sharply after recent losses. Australia’s market also rose on gains in mining and banking stocks, and futures indicated a strong start for India’s Nifty 50. However, Chinese markets underperformed, trading flat to lower, as investors remain cautious about the country’s economic outlook and ongoing tensions. Trump stated that any deal depends on China coming to the table, while China has so far maintained high retaliatory tariffs. Concerns persist as BofA cut its 2025 China growth forecast to 4%. Still, expectations are rising that Beijing will increase stimulus to support its economy.
Option Traders Corner
Max Pain
Nifty 50 – 24000
Bank Nifty – 54200
Nifty 50 – 24160 (Pivot)
Support – 24,078, 23,990, 23,908
Resistance – 24,249, 24,331, 24,419
Bank Nifty – 55617 (Pivot)
Support – 55,217, 54,899, 54,555
Resistance – 55,991, 56,334, 56,708
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