Archive · 26 Dec 2025
Railway Stocks Rally Amid Budget Optimism
Railway stocks like RVNL, RailTel, IRFC, Texmaco Rail, and IRCTC have seen a big increase in their stock prices, with some going up by as much as 13% in a single day.
This happened because people are hoping that the government will spend more money on railways in the upcoming budget.
The government also changed the prices for train tickets, which made people think that the railways will make more money.
Some experts think this is a good time to invest in these stocks because the government is planning to build more train tracks and improve the railway system.
However, some people are still careful because the stocks have not done well this year.
Railway stocks rallied up to 13% on December 26, 2025, with RVNL surging 13.21% to ₹391.40.
The rally was driven by optimism ahead of the Union Budget 2026 and new passenger fare revisions.
RVNL is still down 9% year-to-date in 2025 despite the recent gains.
IRFC is recommended as a buy with a target price of ₹145-₹158 due to its strong business model and low credit risk.
The government revised passenger fares to balance affordability and sustainability of operations.
- Who
- Railway-linked companies (RVNL, RailTel, IRFC, Texmaco Rail, IRCTC)
- What
- Stock price rally up to 13% in a single day
- When
- Friday, December 26, 2025
- Where
- Indian stock market
- Why
- Optimism ahead of the Union Budget 2026, new passenger fare revisions, and increased capital expenditure expectations
Optimistic View
Cautious View
Future Growth Prospects
Optimistic View
Investors are optimistic about higher budgetary allocations and faster execution of railway projects, which could lead to long-term re-rating of the sector.
Cautious View
Despite recent gains, the sector has seen a subdued performance in 2025, and there are concerns about the sustainability of the rally.
- RVNL Current Price
- ₹388.20 per share
- RVNL Annual Decline
- 9% year-to-date in 2025
- RailTel Current Price
- ₹385.45 per share
- IRFC Current Price
- ₹131.95 per share
- Texmaco Rail Current Price
- ₹140.10 per share
- IRCTC Current Price
- ₹705.30 per share
- Passenger Fare Revision
- Second revision in a year, with changes in fare structure for longer hauls
- Budget Expectations
- Optimism around increased capital spending on infrastructure and network upgrades