Shares of Ahluwalia Contracts (India) Ltd experienced a significant uptick on Tuesday, climbing over 8% to reach an intraday high of ₹933.60 on the Bombay Stock Exchange. This surge follows the company’s announcement of securing a substantial ₹396.5 crore contract from Godrej Properties for the Godrej Riverine residential project in Sector-44, Noida.
Project Overview
The awarded contract encompasses core and shell construction for both substructure and superstructure across four residential towers, T1 through T4. Additionally, the scope includes the development of associated amenities such as club and retail spaces, boundary walls, rainwater harvesting systems, waterproofing, and lightning protection systems. The project is slated for completion within a 25-month timeframe.
In its regulatory filing, Ahluwalia Contracts clarified that the contract was awarded in the ordinary course of business and does not involve any promoter or related party transactions, ensuring compliance with corporate governance norms.
Market Performance
Despite the recent rally, Ahluwalia Contracts’ stock remains approximately 39% below its 52-week high of ₹1,540 recorded in July 2024. However, it has rebounded impressively from its 52-week low of ₹620.65 in February 2025, marking a recovery of over 50%. The stock has gained 12% in April, building on a 27% increase in March, signaling renewed investor confidence.
Technical indicators suggest bullish momentum, with the stock trading above its 5-day to 50-day simple moving averages. However, it remains below its longer-term averages, indicating potential for further growth.
Analyst Insights
Analysts maintain a positive outlook on Ahluwalia Contracts, with a consensus ‘Buy’ rating and an average 12-month target price of ₹891. This suggests a modest upside from current levels, reflecting confidence in the company’s growth prospects.
The recent contract win from a reputable developer like Godrej Properties is expected to bolster Ahluwalia Contracts’ order book and reinforce its position in the residential construction sector.
