NCC Ltd. has secured a major contract worth Rs 1,480.34 crore for the redevelopment of Darbhanga Medical College and Hospital. The company announced in an official filing that it received the Letter of Acceptance (LoA) from Bihar Medical Services and Infrastructure Corporate, marking a significant milestone in its infrastructure expansion.

Project Details and Timeline

The redevelopment project involves extensive infrastructure upgrades, with the main construction phase expected to be completed in 42 months. Additionally, NCC Ltd. will be responsible for a 36-month Defect Liability Period (DLP), during which it will rectify any issues post-completion.

According to NCC Ltd.'s internal classification, any order valued at Rs 1,000 crore or more (excluding GST) is considered a major order. This latest contract reinforces the company’s expertise in executing large-scale projects in the healthcare infrastructure sector.

Stock Performance and Investor Interest

Following the announcement, NCC Ltd.'s stock surged by 5%, reflecting positive investor sentiment. Currently, shares are trading 1.25% higher at Rs 208.60 on Monday. However, the stock has faced challenges, declining by 25% so far in 2025.

Notably, Rekha Jhunjhunwala, wife of the late investor Rakesh Jhunjhunwala, holds a 10.63% stake in NCC Ltd., equivalent to 6.67 crore shares, as per the December 2024 quarter filing. Her continued investment in the company has added confidence among retail and institutional investors.

Analysts' Ratings and Future Outlook

A total of 14 analysts cover NCC Ltd., with varying opinions on the stock:

• 9 analysts recommend a 'buy' rating

• 2 analysts suggest 'hold'

• 3 analysts give a 'sell' rating

The consensus price target implies a potential upside of 28%, indicating strong future growth potential. NCC Ltd.’s strategic project wins and strong execution capabilities continue to position it as a key player in the infrastructure sector.

For more updates on stock market trends and IPO news, check out Best IPO to Apply Now - IPO List 2024, Latest IPO, Upcoming IPO, Recent IPO News, Live IPO GMP Today - Finance Saathi and Top News Headlines - Share Market News, Latest IPO News, Business News, Economy News - Finance Saathi.

Join our Trading with CA Abhay Telegram Channel for expert Stock Market Trading and Investment Calls by CA Abhay Varn - SEBI Registered Research Analyst & Finance Saathi Telegram Channel for Regular Share Market, News & IPO Updates.

Start your Stock Market Journey and Apply in IPO by Opening Free Demat Account in Choice Broking FinX.