IRCTC Share Price registered strong upside move from day's low of Rs 851.90 and was trading at Rs 872 at the time of publication of this report. The stock has witnessed strong buying support at the lower levels. Indian markets witnessed recovery and election results couldn't make a major impact on the stocks. Some market participants also believe that the markets had already factored in the results. If BJP wins Haryana, this could help the markets go higher. After selling during the last few sessions by FIIs, the data suggests that domestic institutions have been buying stocks.

Indian Railway Catering and Tourism Corporation (IRCTC) has seen a mix of market activity recently, reflecting broader movements in the Indian stock market. With its key role in providing catering, online ticketing, and tourism services for Indian Railways, IRCTC remains a strong performer in the market.

Price/Earnings Ratio Analysis

The Price/Earnings ratio for IRCTC stands at 58.9x, signaling the market's high expectations for its future growth. While the P/E ratio is significantly above the industry average, this can be attributed to the company's unique position in India's railway sector, along with its rapidly growing online ticketing and tourism segments. Investors are willing to pay a premium due to IRCTC's dominant market presence and its ability to generate consistent revenue streams.

Recent Research Reports: Buy and Sell Calls

Several research houses have issued "BUY" recommendations on IRCTC, reflecting confidence in the company’s ability to sustain long-term growth. A notable research report released in September 2024 gave a target price of Rs 800, citing strong future earnings potential driven by increasing tourism, higher ticketing volumes, and IRCTC’s expansion into other revenue-generating services. This recommendation reflects broader market sentiment that the company is well-positioned for future growth, despite short-term fluctuations in stock price.

Conclusion: A Long-Term Bet on Growth

IRCTC’s stock continues to attract attention due to its monopoly in railway ticketing and its growing focus on new business avenues like tourism and e-catering. With a strong P/E ratio, a history of solid returns, and bullish research recommendations, IRCTC remains a compelling option for long-term investors. While the stock's current price may be relatively high compared to historical levels, the company's potential for future growth could justify continued investment at these levels.