Shares of PNC Infratech took a heavy beating on Thursday, down 4.4% to ₹332.50 at the time of writing at noon.
The downturn came amid weak market-wide conditions, with Nifty 50 down 0.34% and Sensex down 0.27%.
Beside market-wide conditions, profit-booking seem to be impacting the share price of the infrastructure company. Just yesterday, PNC shares jumped as much as 13% intraday to hit ₹351.85.
Volatility isn’t new to PNC Infratech stock.
Wednesday’s surge came after the company announced it had completed the NH 5308 project in Uttar Pradesh two months earlier than slated, making it eligible for a ₹4.4 Crore bonus, as was timely reported for Dzambhala Pro subscribers.
While this seemed to make investors jubilant, it remains to be seen whether this can help lift a major overhang for the stock.
The Ministry of Road Transport and Highways had disqualified PNC Infratech, along with two of its subsidiaries, from even a chance to participate in any tender process under it, including for National Highways Authority of India (NHAI) and National Highways & Infrastructure Development Corp. Ltd. (NHIDCL) in October — for a year.
The news at the time led to a vertical fall in the shares of the company which is one among the crucial companies to the expressway projects envisioned by the Modi government at the center and particularly the UP state government run by Yogi Adityanath.
PNC Infratech shares traded at above the ₹450 level before the MoRTH ban and have a 52-week high of ₹574.8 and low of ₹281.60.
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