IRFC Shares Gain 0.54% to ₹128.84: Dividend Boost or Temporary Rally?

Should you buy IRFC shares before the dividend payout concludes: Find out!
IRFC Shares Gain 0.54% to ₹128.84: Dividend Boost or Temporary Rally?
Written By:
Aayushi Jain
Published on

The IRFC share price today reached ₹128.84, up 0.54% over its last close of ₹128.11, as of 11.51 am on March 20, 2025. The IRFC stock opened at ₹130.50. The market interest in the public sector unit continues to be high, with a trading volume of more than 21 million shares. IRFC shares have a market capitalization of about ₹168,243 crore today.

The IRFC share price as of 11.52 am is Rs 137.56 with a 1.48% surge:

The IRFC share price as of 11.52 am is Rs 137.56 with a 1.48% surge:

Recent Performance and Sentiment in the Market

IRFC stock has been very volatile over the last few months. The stock is now 44% down from its 52-week high price of ₹229.00, achieved in July 2024. It has been quite resilient despite the fall, as it rose 10% from its recent low price of ₹108.04.

The beta value of the stock at 1.47 means that it is more volatile than the general market. However, IRFC's price-to-earnings (P/E) ratio is 25.75, which is much higher than the sector average P/E of 13.24. It means that the stock is overvalued compared to industry peers.

IRFC Dividend Announcement

On March 17, 2025, the IRFC board approved the second interim dividend of ₹0.80 per equity share for the year 2024-25. The record date of the dividend is March 21, 2025. That is, investors who buy shares on or before this date will be entitled to receive the dividend. The dividend will be given to the shareholders within 30 days from the date of declaration.

IRFC has kept a consistent dividend policy since its listing in 2021, distributing nine dividends so far. The company has usually paid between ₹0.70 and ₹0.80 per share, with the largest payout of ₹1.00 paid in the first year after listing.

Technical Indicators and Market Trends

IRFC shares are currently trading below both the 50-day and 200-day simple moving averages, signaling a bearish trend. The volume-weighted average price (VWAP) is ₹129.96, a bit above the current price. This shows that traders are holding positions at higher levels.

Despite recent volatility, IRFC has appreciated by 8.23% in the last five trading days, reflecting renewed demand.

Future Outlook for IRFC Share Price

Analysts are still split on IRFC's future price action. Some predict a target price of ₹167.50 by 2025 end, which is a 30% gain from levels today. Yet fears of market volatility, sector performance, and general economic conditions mean this estimate is questionable in the long run.

The government's possible divestment in IRFC to comply with Minimum Public Shareholding (MPS) requirements can also affect share prices in the future. Investors should remain informed of policy shifts that can affect IRFC's valuation.

Conclusion

IRFC share continue to see high trading volumes in the short term, supported by recent dividend payout news and renewed investor interest. However, Investors should closely watch future economic releases and railway industry news, which might affect IRFC's share price. 

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