Shares of HG Infra Engineering Ltd rose 4 percent on Thursday to ₹598 apiece as the company obtained appointed date letter from Adani Road Transport for a road project in Uttar Pradesh.
At 12:17 pm, the stock was trading 2.75 percent higher at ₹589.55 per share on the BSE.
The total length of the project is 151.7 km and contract price stands at ₹4,971 crore. According to brokerage house ICICI Direct Research, with the receipt of appointed date, project execution from the company is likely to pick up soon.
The stock price of the company has more than doubled over the last four years, from nearly ₹270 in March 2018 to the current levels.
On the technical front, analysts expect the stock to be on a consolidation phase, which seems like a timewise correction, according to them.
"The stock is in a consolidation mode… it's only above 643 level that we will be able to witness a rally up to 790 level," said an analyst.
The stock price underperformed its sector by 14.78 percent in the past year, and the weekly average delivery volume is 42.53 percent.
According to Mintgenie poll, 13 analysts on average have 'strong buy' call on the stock.