Shares of REC Limited and Power Finance Corporation (PFC) traded higher in early deals on Wednesday, October 29, as investor sentiment remained firm for state-run financial institutions. Both stocks saw fresh buying interest after a muted start earlier this week, aided by strong fundamentals and stable yield profiles.
Stock Performance
At 11:09 AM, REC Limited was up 3.63% at Rs 382.35, rising Rs 13.40 from the previous close of Rs 368.95. The stock moved within a day range of Rs 369.70 to Rs 383.90, commanding a market capitalisation of Rs 1.01 lakh crore.
Power Finance Corporation (PFC) shares also gained 2.64% to Rs 405, after closing at Rs 394.60 in the previous session. The scrip traded between Rs 393.25 and Rs 406.80 during the day, with a market capitalisation of Rs 1.34 lakh crore.
Recent Trading Trend
REC shares have been fluctuating mildly over the past week, moving between Rs 368 and Rs 377, with occasional dips last week. Today’s upward move reflects renewed accumulation at lower levels.
PFC, too, witnessed a similar pattern, closing below Rs 400 for much of last week before bouncing back above the psychological Rs 400 mark on sustained demand from institutional investors.
Broader Context
Both companies—REC and PFC—are among India’s leading infrastructure financiers, catering primarily to the power sector. Their performance has been steady amid expectations of increased lending activity to renewable and transmission projects.
Analysts note that high dividend yields of 4–5%, coupled with strong government backing, make these PSU financials attractive to long-term investors, especially as India accelerates energy transition investments.
Outlook
Market experts suggest both stocks could continue to remain on investor radar ahead of the December quarter earnings, as financing demand from renewable and rural electrification projects remains strong.
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