IRB Infra soars 10%, most among A-group stocks, after 3x price target

Debt reduction, renewed govt focus on BOT projects, attractive valuations and strong revenue growth forecasts could lead to a re-rating of the stock

Road developer IRB Infrastructure Developers surged nearly 10 per cent—most among ‘A’ group stocks—after domestic brokerage Ventura said its stock could jump more than 3x in 30 months. The stock traded at Rs 237, up 9.6 per cent over its previous day’s close.

Debt reduction, renewed government focus on BOT (build–operate–transfer) projects, attractive valuations and strong revenue growth forecasts could lead to a re-rating in the stock, Ventura Securities has said. The brokerage has come up with a price target of Rs 729 in 30 months.

“IRB has historically underperformed the broader market as investors feared that the management strategy