Vande Bharat is not just a train. It is a revolution in the Indian Railway Sector. It is the fastest, most comfortable and most eco-friendly train service in the country. And it is also a golden opportunity for smart investors who want to cash in on its success.
Indian Railways has partnered with Transmashholding (TMH), a Russian-based company, to collaborate on various projects related to the development of rail infrastructure in India. The partnership aims to leverage TMH’s expertise in manufacturing and maintaining trains to enhance the capabilities of Indian Railways.
As part of this collaboration, TMH has been awarded the contract for the production, supply, and maintenance of 120 Vande Bharat Express trains. This partnership not only promotes the ‘Make in India’ initiative but also facilitates technology transfer and knowledge sharing between the two countries.
The involvement of TMH in the Indian Railways projects signifies a significant step towards modernizing and upgrading the country’s rail network. Through this collaboration, Indian Railways aims to improve the quality of trains, enhance passenger experience, and strengthen its overall operational efficiency.
According to the news agency, the Indian Railways will allocate $1.8 billion for the procurement of the trains and an additional $2.5 billion for their maintenance spanning 35 years. Taking into account indexation, the overall contract value could reach up to $6.5 billion. Delivery of the trains is projected to take place from 2026 to 2030. However, the first two prototypes are set to be prepared for trials by the conclusion of 2025.
Here are some of the stocks that are linked to Vande Bharat’s expansion and contracts:
1) RVNL
Consolidated Nov 2022 to April 2023. Rally Given. Making A pole & flag with a Triangle in Flag.
RVNL is a no-brainer for anyone who wants to invest in Vande Bharat. RVNL has bagged a massive contract to manufacture and maintain 120 Vande Bharat trains for 35 years. This means a guaranteed income and growth for RVNL for decades to come.
2)BHEL
Breakout with a Triangle And Base And Double Bottom. Now in Range. If 92-93 Break Will see more Up Move.
BHEL is another winner in the Vande Bharat story. BHEL has joined forces with Titagarh Wagons to clinch a contract for manufacturing and maintaining 80 Vande Bharat trains. BHEL is a leader in the power and railway sectors and this contract will boost its earnings and reputation.
3)Titagarh Wagons
This stock is a partner of BHEL in the above-mentioned contract and also a top producer of railway wagons and coaches. Titagarh Wagons will gain from the rising demand for high-end rolling stock from Vande Bharat.
4)Tata Steel
Tata Steel is on the verge of breakout making an inverted H&S, about to break the range from feb 2023 with a proper base at 100-105 level.
The above stock is a trusted name in the steel industry and has secured a contract to supply parts for 22 Vande Bharat trains, each with 16 coaches. Tata Steel will deliver seats, panels, windows and other components for these trains. Tata Steel is known for its quality and innovation and this contract will showcase its skills and products.
5)RITES
Sept 2022 broken long Sideways Range. Now staying Above the range making a double top at 440 area until that level is taken out. We might see sideways Movement.
This stock is a consultancy and engineering firm that offers services to the railway sector. RITES has been instrumental in the design, testing and certification of Vande Bharat trains and will continue to provide technical support and expertise to the project.
These are just some of the stocks that are riding high on Vande Bharat’s success. There are many more that are poised to benefit from this project in the future.
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