Synopsis
Most brokerages say the IRFC IPO is attractively priced and can be a good bet for conservative long-term investors, given the company s low-risk profile and consistent earnings visibility.
Agencies
The IPO of IRFC the dedicated market borrowing arm of the Indian Railways includes a fresh issue of up to 1,188,046,000 shares.
NEW DELHI: The Rs 4,633-crore IPO of Indian Railway Finance Corporation (IRFC) kicked off on Monday. Most brokerages advised investors to subscribe to the issue with a long-term investment horizon.
They said the IPO is attractively priced and can be a good bet for conservative long-term investors, given the company s low risk profile and consistent earnings visibility. That said, expansion drivers for return on equity (RoE) or margins are missing, analysts said. They expect good returns from the stock only in the long run.