Antony Waste (AWHCL) Shares Soar 20% in 2 Days Post-Budget Boost

Antony Waste Handling Cell Ltd. has experienced a remarkable surge in its share prices, rallying over 20% in just two trading sessions. The stock climbed by 16.5% today, reaching an all-time high of Rs.808.8. This increase follows a 3% rise on Tuesday and a 14% gain on Monday, marking a substantial three-day gain of more than 20%.

Budget 2024 Impact

The gains come in the wake of the Union Budget 2024 announcement, which promised major investments in water supply, sewage treatment, and solid waste management projects. During her budget speech, Sitharaman revealed that the central government, along with state governments and multilateral development banks, would support these initiatives in 100 large cities through bankable projects. This boost to the waste management sector was a key driver behind the surge in stock prices for companies like Antony Waste.

Company Performance

For the June quarter, Antony Waste’s core revenue saw an 11% increase, largely due to good performance in its collection and disposal operations and the ramp-up of its waste-to-energy plant in Pune. Additionally, compost sales surged to 6,000 tonnes from 2,800 tonnes y-o-y. The company further seems set to launch a new Construction and Debris processing project in Mumbai and maintain operational parameters at other sites.

Stock Market Debut & Current Valuation

Since its stock market debut in 2021 at an IPO price of Rs.315 per share, Antony Waste’s stock has more than doubled. Currently trading at around Rs.792, the stock has surged by 60% so far in 2024. The recent gains have boosted the company’s market cap to Rs.1,968 crore.

Sector-Wide Gains

The positive sentiment in the waste management sector was mirrored by other firms like VA Tech Wabag and EMS Ltd., which also saw huge share price boost following the budget announcement. VA Tech Wabag, specializing in water treatment, and EMS Ltd., a provider of water and wastewater services, both experienced notable gains in their stock values.

Conclusion: In conclusion, overall, the budget boost has significantly benefited companies in the waste management and water treatment sectors, driving up their stock prices and reflecting optimism in these areas.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.