Budget 2024: Power PSUs NHPC, SJVN rally to record high after higher budget allocation

Shares of NHPC are up over 10% in today's session, marking its best single-day gain in two years. The stock has already risen 50% from its Offer For Sale price of ₹66. The government sold around 4.5% stake in NHPC through an OFS last month.

SJVN shares are also trading 11.5% higher after gaining as much as 14% earlier in the session. At ₹142, the stock has more than doubled from its own Offer for Sale price of ₹69. SJVN's OFS took place in September last year.

Allocation to SJVN was also increased to ₹12,000 crore from ₹10,000 crore earlier.

SJVN's stock had risen 45% in January, while those of NHPC had also risen around 41%.

NHPC's shares are now in overbought territory, with relative strength index (RSI) at 84. SJVN's shares are also in overbought territory, with its RSI at 78. An RSI reading above 70 indicates that the stock is in overbought territory.

In an interaction with CNBC-TV18 on December 6 last year, RP Goyal of NHPC said that they have an annual capex plan of ₹9,000 crore to ₹10,000 crore for the current financial year, as well as for the next 8-10 years. The company is also targeting revenue of ₹18,000 crore to ₹19,000 crore for financial year 2027.

Even shares of Power Grid are trading at a record high, having gained another 8% this month, following January's 9.5% surge.