Railway stocks, including RVNL, IRFC, and IRCTC, have seen significant gains in late December 2025. This surge is attributed to a recent increase in passenger train fares, the second such hike in the year, aimed at improving Indian Railways' financial sustainability. Investor optimism is also fueled by expectations of substantial allocations for railway infrastructure and safety in the upcoming Union Budget 2026. Despite recent rallies, some major railway stocks remain down for the year.