Railway Shares Soar on Budget Hopes, Fare Hike; Experts Advise Profit Booking

• Railway shares, including IRCON, Railtel, RITES, Jupiter Wagons, surged up to 10% for the second day, driven by Union Budget optimism and Indian Railways' revised passenger fare structure.
• Indian Railways announced a new fare structure, effective December 26, projected to generate an additional Rs 600 crore revenue in 2025-26.
• Experts like Sunny Agrawal and Ruchit Jain suggest using the current rally, fueled by Budget expectations and technical factors, to book profits in railway EPC stocks.
• Sustained momentum depends on Budget allocations for rail infrastructure and project execution pace, with policy-led spending creating strong order pipelines for many railway PSUs.
• The fare hike is expected to improve Indian Railways' financial health, potentially accelerating capital expenditure and benefiting wagon and infrastructure players.

Why It Matters: Railway stocks rally on Budget hopes and fare hike, but experts advise caution and profit booking.