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    Kernex shares fall up to 9% on missing order deadline; other Kavach stocks decline up to 2% amid rub-off effect

    Kavach stocks had seen a sharp surge earlier but have corrected in recent sessions as investor focus has shifted from order announcements to execution.

    Paras Bisht
    January 12, 2026 / 16:11 IST
    Kernex shares see profit booking in trade. 

    Shares of Kernex Microsystems (India) Ltd fell sharply on Monday after the company failed to meet an order delivery deadline, while other Kavach-linked stocks also traded lower amid a rub-off effect.

    Kernex Microsystems shares declined as much as 15.93 percent to an intraday low of Rs 1,011 apiece, marking their lowest level in nearly a month. The stock opened with a loss of 14.57 percent.

    The stock has fallen for five consecutive sessions and is down over 18 percent during this period.

    The railway technology firm was unable to complete an order placed by Chittaranjan Locomotive Works within the stipulated timeline. Its request for an extension of the delivery period was rejected by Chittaranjan Locomotive Works.

    Kernex Microsystems shares are down 9.4 percent so far in 2025.

    The decline also spilled over into other stocks linked to the Kavach automatic train protection system, including HBL Engineering and Quadrant Future Tek.

    HBL Engineering shares settled 1.94 percent lower at Rs 861.25, while Quadrant Future Tek also ended the session in the red.

    "Kavach aids the Loco Pilot in running of train within specified speed limits by automatic application of brakes in case Loco Pilot fails to do so and also helps the trains to run safely during inclement weather," reads a press release by the Ministry of Railways.

    CG Power, HBL Engineering, Kernex Microsystems, Quadrant Future Tek and RailTel Corporation of India are among the listed companies associated with India’s Automatic Train Protection system, known as Kavach.

    These stocks had seen a sharp surge earlier but have corrected in recent sessions as investor focus has shifted from order announcements to execution.

    Disclaimer: The views and investment tips expressed by investment experts on Moneycontrol.com are their own and not those of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.

    Paras Bisht
    Paras Bisht A financial journalist with over 10 years of experience, specialising in tracking stock market movements and fundamental developments that impact investors and the broader economy. A keen observer of global financial markets, I regularly engage with leading market voices to write stories. At Moneycontrol, I focus on decoding market trends, policy shifts and economic changes, driven by a constant passion to learn, analyse, and share knowledge with my readers.
    first published: Jan 12, 2026 04:02 pm

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