Kernex Microsystems Share Price Hits 5% Upper Circuit Again—Up 6,000% in 5 Years!

Kernex Microsystems share price, a company specialising in railway safety systems, hit the 5% upper circuit for the second straight session on April 2, reaching ₹855.55 per share. This rally follows the company’s recent contract win for the Kavach train safety system.

New ₹85 Crore Order from North Central Railways

On Tuesday, Kernex Microsystems informed investors that its consortium with KEC International secured a contract worth ₹85 crore from North Central Railways, Prayagraj. The project involves the installation of Kavach (Train Collision Avoidance System) with fiber optic connectivity on the Shuteshwar–Dholpur section.

This comes after the company won a ₹325.33 crore order in February from South Eastern Railways for Kavach implementation across train sets.

What is Kavach?

Kavach is an Automatic Train Protection (ATP) system launched in 2020 to enhance railway safety. It automatically applies brakes if the loco pilot fails to react, reducing the risk of collisions. The Indian government has been prioritising Kavach adoption across the railway network.

In December 2024, Kernex Microsystems bagged a ₹2,041 crore order from Chittaranjan Locomotive Works, a unit under the Ministry of Railways.

Stock Soars Over 6,000% in 5 Years

Kernex Microsystems’ stock has delivered massive gains over the years:

• Up 250% in the last 2 years 
• Up 471% in the last 3 years 
• Up 6,243% in the last 5 years 

The stock hit an all-time high of ₹1,584 in December 2024 before declining 45%. However, it has regained momentum recently. From February 2021 to December 2024, the stock surged from ₹29 to ₹1,584, delivering a massive 5,362% return to investors.

About Kernex Microsystems

Founded in 1999, Kernex Microsystems develops railway safety systems, anti-collision devices, and software solutions. The company successfully tested its first Anti-Collision Device (ACD) with Konkan Railway and Indian Railways safety officials.

The company remains a key player in India’s railway modernisation efforts with multiple new orders and strong government backing for railway safety.

Conclusion

Kernex Microsystems continues to gain from India’s railway modernisation push. With multiple Kavach orders and government backing, the stock remains in focus for investors.

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