NCC Secures ₹2,130 Crore Deal
- 20th March 2025
Aaj Ka Bazaar
Wall Street saw a strong rally, with the Dow Jones rising by 0.92%, the S&P 500 gaining 1.08%, and the Nasdaq up by 1.41% after the U.S. Federal Reserve kept interest rates steady and indicated potential rate cuts later this year, though they will wait for more clarity on U.S. government policies. In Asia, markets were mixed, with Japan trading down, while South Korea and Australia gaining. China held its benchmark lending rates steady for the fifth month in March. Gift nifty traded higher today. The Indian stock market is expected to open on a positive note driven by global cues and optimism after the Fed’s potential rate cuts in 2025. The IT services sector is expected to perform well, especially after partnerships between Wipro, TechMahindra, and L&T Technology with Nvidia for AI-based solutions for various industries. In stock news, Hyundai Motor India announced a price hike of up to 3% due to rising costs. Investors focus will now shift to China’s monthly loan prime rate decision, Bank of England’s interest rate decision, and the US’ weekly jobless claims data, all due today.
Markets Around Us
BSE Sensex – 75,990.42 (0.72%)
Nifty 50 – 23,057.70 (0.66%)
Bank Nifty – 49,918.35 (0.43%)
Dow Jones – 41,964.63 (0.92%)
Nasdaq – 17,750.79 (1.41%)
FTSE – 8,706.66 (0.02%)
Nikkei 225 – 37,751.88 (0.00%)
Hang Seng – 24,451.06 (-1.29%)
Sector: Construction
NCC Shares Rise 6% on 2,130 Cr order
NCC’s share price surged nearly 6% on March 19 after the company announced receiving a Letter of Acceptance (LoA) for a ₹2,130 crore order from the Andhra Pradesh Capital Region Development Authority. The order involves constructing roads, drains, water supply systems, sewage, utility ducts, and other infrastructure in the Amaravati Capital City. The contract will be completed over the next three years. Despite a recent decline in share prices—down 10% in the past month and over 33% year-to-date—NCC’s stock has delivered strong returns, up 97% over the last two years and an impressive 463% over the past five years. This major order is seen as a positive development for NCC, contributing to investor optimism. As of the latest trading, NCC shares were up 3.45%, indicating a steady recovery after recent price drops.
Why it Matters:
NCC’s ₹2,130 crore order boosts its revenue and growth prospects, driving a 6% jump in its stock price. Despite recent declines, the company’s strong returns over two and five years highlight its growth potential. This major project reinforces investor confidence in NCC’s future performance.
NIFTY 50 GAINERS
WIPRO– 272.90 (2.71%)
INFY– 1623.35 (2.32%)
TCS – 3564.40 (1.92%)
NIFTY 50 LOSERS
BAJFINANCE – 8657.90 (-0.84%)
ULTRACEMCO– 10876.90 (-0.52%)
JSWSTEEL – 1031.20 (-0.21%)
Sector : Aerospace & Defense
Garden Reach Shipbuilders Jumps 6% on MoU
Shares of Garden Reach Shipbuilders & Engineers (GRSE), a defence PSU, jumped over 6% on March 20, extending its gains for the fifth consecutive session. The rally followed the company’s announcement of signing a Memorandum of Understanding (MoU) with the Public Works Department (PWD) of Nagaland to supply eight sets of Modular Steel Bridges. The stock opened at ₹1,734.95 and reached a high of ₹1,746.10. This MoU is the first between GRSE and the North Eastern state. The company has previously supplied over 5,800 modular bridges to various organizations, including the Border Roads Organisation and several international clients. GRSE’s stock has surged 31% over the past five days, with a 127% increase in the past year and a massive 1,125% jump over the last five years, making it a multibagger stock for investors. The company’s strong performance and ongoing project wins are driving investor optimism.
Why it Matters:
GRSE’s MoU with Nagaland PWD boosts its growth prospects, driving a 6% jump in its share price. The company’s consistent performance in modular bridge supply enhances investor confidence. With strong returns over the past year and five years, GRSE continues to be a top-performing stock.
Around the World
Most Asian currencies stayed within a narrow range on Thursday as markets absorbed the Federal Reserve’s outlook on persistent inflation and slowing growth, though the dollar weakened after the Fed projected more rate cuts this year. The Japanese yen strengthened, driven by safe-haven demand and expectations of further tightening by the Bank of Japan, but trading volumes were low due to a holiday in Japan. The Chinese yuan saw a slight increase after the People’s Bank of China kept its loan prime rate unchanged, signaling ongoing stimulus. The South Korean won and Singapore dollar saw small movements, while the Indian rupee fell slightly. The dollar index continued to decline after the Fed held rates steady but forecasted rate cuts due to higher inflation and a reduced growth outlook. The Australian dollar dropped after weak labor data fueled expectations for more rate cuts by the Reserve Bank of Australia.
Option Traders Corner
Max Pain
Nifty 50 – 22950
Bank Nifty – 49500
Nifty 50 – 22885 (Pivot)
Support – 22,830, 22,752, 22,697
Resistance – 22,962, 23,018, 23,095
Bank Nifty – 49611 (Pivot)
Support – 49,415, 49,218, 48,933
Resistance – 49,898, 50,094, 50,381
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