NCC Shares Crash 10% After NHAI Debars Company From Tenders for 2 Years; Stock Hits New 52-Week Low

Shares of NCC Ltd, a major construction and infrastructure company, tumbled nearly 10% on the stock market after the National Highways Authority of India (NHAI) barred the firm and one of its subsidiaries from participating in new highway tenders for two years. The sharp fall pushed the NCC share price to a fresh 52-week low, triggering heavy selling pressure among investors.

NCC share price movement today

The stock opened around Rs. 137.43 on the NSE and slipped to an intraday low near Rs. 135, with a decline of about 9.8% from the previous close following the NHAI debarment news.

Later in the session, NCC shares recovered part of the losses, trading in the Rs. 147-Rs. 150 range. At the writing, the NCC share price was currently at Rs. 147.88, down 1.26%, with the company's market capitalisation near Rs. 9,280 crore.

Despite the partial rebound, sentiment around the NCC stock is currently weak due to concerns over future order inflows from highway projects.

NHAI debarment impact on NCC order book

The two-year debarment, effective February 17, prevented NCC from bidding for new NHAI tenders. However, the restriction does not impact the company's existing order book, which remains strong at over Rs. 70,000 crore.

As of the company's latest update, the standalone order book is about Rs. 72,748 crore, around 4.2× book-to-bill. Meanwhile, the consolidated order book is nearly Rs. 79,571 crore as of Q3 FY26.

NCC Reported Weak Q3 FY26 Results

Investor confidence had already weakened after NCC reported muted Q3 FY26 earnings on Feb 5th, and the stock price had fallen 5.5% since then.

The company posted revenue of about Rs. 4,043 crore, down 13.4% year-on-year, due to slower execution across projects. Profitability also deteriorated, with net profit falling 36.6% YoY to around Rs. 122 crore and EBITDA declining 20.1% YoY to Rs. 327.3 crore. Margins contracted 67 basis points to 8.1%, while profit after tax dropped sharply to nearly Rs. 82 crore, down 55.7% YoY.

NCC share price target and analyst outlook

Despite the recent fall, analysts remain cautiously optimistic about the long-term outlook.

According to ICICI Direct, "NCC could benefit from strong opportunities in buildings, roads, water, mining, and electrical infrastructure, supported by its robust order book."

The brokerage has cut the target price to Rs. 180 from Rs. 235 earlier and maintained a 'Buy' rating, citing execution improvement potential despite short-term weakness.

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