Viksit Bharat Budget 2024: This waste management stock has zoomed 17%

EMS stock zoomed 17% after FM Sitharaman in Budget 2024 proposed to promote water supply, sewage treatment and solid waste management projects and services for 100 large cities.

Shares of EMS hit a record high of Rs 790, as they zoomed 17.4 per cent on the BSE in Tuesday’s intra-day trade amid heavy volumes after the Finance Minister, Nirmala Sitaraman in Budget 2024-2025 speech said the government shall promote water supply, sewage treatment and solid waste management projects and services for 100 large cities through bankable projects.

At 02:44 pm; EMS was trading 13 per cent higher at Rs 759, as compared to 0.09 per cent rise in the BSE Sensex. The average trading volumes at the counter jumped nearly 10-fold. A combined 4.5 million shares representing 8 per cent of total equity of EMS changed hands on the NSE and BSE.

The stock of the waste management company has rebounded by 95 per cent from its previous month low of Rs 392.60 touched on June 4. Currently, the stock has zoomed 263 per cent from its IPO issue price of Rs 211. EMS made stock market debut on September 21, 2023.

On July 19, 2024, EMS said it received a letter of Acceptance for development of water supply and sewerage system with 18 years O&M in Vikas Nagar Dehradun, Uttarakhand. The order value was approximately Rs 535.19 crore wherein EMS is having 95 per cent share with the other JV Partner.

On July 12, EMS informed that it has received a letter of award for development of distribution infrastructure-loss reduction works at EDC Dehradun rural Circle of Uttarakhand under Revamped Reforms-based and Results-linked, Distribution Sector Scheme from Uttarakhand Power Corporation. The order value was approximately Rs 141.12 crore wherein EMS limited is having 95 per cent share with the other JV Partner, the company said.

EMS is continuously growing at an envying pace in providing Engineering, Procurement and Contractor activities for various projects on turnkey basis. EMS specializes in executing water supply & sewerage infrastructure projects including pipeline networks, water treatment plants, sewage treatment plants, reservoirs, pump houses etc. along with complete electro-mechanical solutions.

The company has also evolved into electrical contractors. The company undertakes turnkey electrical works for all across India. EMS is specialized in constructing of 33/11 KV, 66/33 KV & 132133 KV Substations, Internal / External electrification work, Erection, Testing & Commissioning of the Transformers, llT/W Panels, Bus Ducts and Rising mains, Underground Trench less line, Overhead transmission lines and building automation system.