Shares of Housing & Urban Development Corporation Ltd, HUDCO and NBCC India soared by up to 16 percent each on February 2, following Finance Minister Nirmala Sitharaman’s Budget 2024 announcement promising the development of two crore houses over the next five years under the PM Awas Yojana (PMAY) Grameen.
In her speech, Sitharaman stated, “Despite the challenges due to Covid, the implementation of PM Awas Yojana (Grameen) continued, and we are close to achieving the target of three crore houses. Two crore more houses will be taken up in the next five years to meet the requirement arising from an increase in the number of families.” The Interim Budget 2024 allocated Rs 80,671 crore for the Pradhan Mantri Awas Yojana (PMAY), marking a 49 percent increase from the revised estimate of Rs 54,103 crore in Budget 2023.
HUDCO, a state-run company providing financial assistance for housing and urban infrastructure development projects, witnessed its shares surging over 10 percent in morning trades, reaching a new record high of Rs 226.45 on the National Stock Exchange (NSE). The stock has experienced a remarkable fivefold increase from its 52-week low of Rs 40.4 on March 29, 2023. Currently, the government holds a 75 percent stake in HUDCO.
Over the past year, HUDCO’s share price has skyrocketed by over 360 percent, offering substantial returns to investors, more than quadrupling their income. In contrast, the benchmark Nifty 50 has risen by around 24 percent during the same period, with the stock rallying over 68 percent in the last month alone.
NBCC, which provides construction and engineering services for residential, commercial, and institutional buildings, saw its shares surge by over 16 percent on February 2, hitting a new record high of Rs 167.80 on the NSE. The government currently holds a 61.8 percent stake in NBCC. Over the past year, NBCC stock has delivered multibagger returns to investors, surging over 370 percent and doubling investor wealth in the last month.HUDCO and NBCC India Stocks Surge Up to 16% After Budget 2024 Allocates Rs 80,671 Crore for PM Awas Yojana
