Big news came on Tuesday for the investors of infrastructure sector giant NCC. The company has received a large order worth ₹1,076.71 crore (exclusive of GST) from the Department of Rural Water Supply and Sanitation, Government of Andhra Pradesh. As soon as the news broke, the company's shares jumped nearly 5% on the NSE to reach the day's high of ₹137.30 — as if a rocket had been built.
However, profit booking was seen at the end of the day and the stock closed at ₹128.05 with a decline of 1.72%. But the news of the order has once again brought the stock into discussion.
NCC Share Price: Water supply project related to Yelru Reservoir
The company has received this order in the form of letter of acceptance. The project is a Multi-Village Drinking Water Supply Scheme linked to Yellaru Reservoir in Anakapalle area of Anakapalle district. The work including construction will have to be completed in 24 months. The company has clarified that this order is not with any related party.
NCC's order book seems to be continuously filling up in recent times. Last month, the company had won 3 orders in the buildings division, the total value of which was ₹430.19 crore. Earlier, three projects worth ₹1,052 crore were awarded — ₹590.38 crore in buildings and ₹462.33 crore in water segment.
Share performance: 59% rise in 5 years
The stock has been under pressure in the short term. The stock has lost 12.24% in the last 1 month. There has been a decline of 19.42% so far in 2026 and 36.76% in the last 1 year. The 3 year return is also -16%. But investors who have held shares for 5 years have got a profit of 59%.
Government spending in the water and infrastructure segment is increasing, and seasoned players like NCC seem to be directly benefiting from it. Continuously receiving large orders is strengthening the company's order book, which can become the basis of revenue growth in the coming quarters.
What should investors keep in mind?
It is common for shares to rise on news of big orders, but the fall at the end of the day on Tuesday shows that there is pressure for profit booking in the market. While the strength of the order book is good news, it is important to understand the company's margins, execution capabilities and sector risks before investing. (This is not investment advice. The stock market is subject to risks. Consult experts before making any investment.)
Journey from order book to revenue
The water segment is continuously becoming the engine of growth for NCC. This order worth ₹1,076.71 crore is related to the multi-village scheme of drinking water in Anakapalle area, in which the entire work including construction will have to be completed in 24 months. Water infrastructure companies are continuously getting work from government schemes like Jal Jeevan Mission.
Although the stock's 1-year performance has been weak (-36.76%), the filling of the order book gives revenue visibility for the coming quarters. Order inflow is considered to be the most important trigger in infra stocks, and NCC continuously getting large orders is a positive sign in this regard.