PSUs Soar: MMTC Share Price Rises 23% in Two Days; STC, MSTC Shares Join In

It’s been a big couple of days for public sector trading companies. Shares of MMTC, STC, and MSTC have taken off, with MMTC leading the way. Its stock shot up 23% in just two sessions. That’s caught the eye of both investors and analysts.

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MMTC's Big Break

MMTC’s sudden jump isn’t just random, it’s tied to some important policy changes. The government recently updated the Mines and Minerals Act, setting new royalty rates for key minerals like lithium, niobium, and rare earth elements. We're talking 3% for lithium and niobium, and just 1% for rare earths. These resources are vital for clean energy, so the move is a big win for companies like MMTC looking to expand in this space.

The timing couldn’t be better. As India ramps up its push toward net-zero emissions by 2070, MMTC's focus on these minerals puts it right in the spotlight. Analysts believe these efforts could give the company's financials a healthy boost, both short-term and down the road.

STC and MSTC Join the Momentum

It’s not just MMTC getting all the love. STC’s stock is also climbing, fueled by talk of major changes within the organization. Then there’s MSTC, which has been on a roll, its shares have more than doubled in the last six weeks.

MSTC’s surge makes sense when you look at what they’re doing. Their work in e-auctions and e-procurement is aligned perfectly with the government’s push for digital transformation. Add in their role in the Vehicle Scrappage Policy, helping recycle old vehicles and manage materials, and it’s clear why investors are paying attention.

The government’s plans to open more scrappage centers and promote recycled materials in car manufacturing could be a huge opportunity for MSTC. It’s a niche, but a growing one, and MSTC is well-positioned to benefit.

What’s Driving the Rally?

This surge across PSUs isn’t happening in a vacuum. Policy reforms, infrastructure investments, clean energy goals, and a digital-first approach are all part of a bigger trend. These firms are finally starting to see the upside.

There’s also a shift in how public sector companies are being managed. The government is working to monetize non-core assets and make operations leaner. Some PSUs, including MMTC and STC, are rumored to be undergoing structural changes, or even closures, which has added fuel to investor speculation and bumped up trading activity.

What’s Next?

There's a reason to stay optimistic. With supportive government policies and fresh business strategies, these companies have solid growth potential.

Still, experts urge caution. Stocks that rise quickly can fall just as fast, especially in sectors driven by policy. So if you’re watching this space, keep an eye on the fine print, how policies evolve, and how these companies actually perform, will be key to whether this momentum lasts.