1,500 per cent returns and Rs 27,890 crore order book: This multibagger railway wagon manufacturer bags Rs 857 crore contract for metro project!

Shares of the company have gained about 60 per cent in the last six months.

On October 03, 2023, Titagarh Rail Systems Limited informed in the exchange filing that the company had signed a contract worth Rs 857 crore with Gujarat Metro Rail Corporation Limited. The contract involves designing, manufacturing, supplying, testing, commissioning and training 72 standard gauge cars for the Surat Metro Rail Phase I Project.

The company expects the momentum in wagon orders from the railways and the private sector to continue, with a total offtake of around 30,000 wagons per year.

Titagarh Rail Systems Limited (TRSL) has a prominent presence in both the Passenger and Freight Rail Systems including railway wagons, components, passenger coaches and Metro Coaches. TRSL is India’s one of the largest private sector manufacturers of railway wagons and an established player in passenger coaches. The company has been awarded the largest-ever order for wagons by Indian Railways in addition to the orders for the manufacture and supply of Metro Trains for the Pune Metro and Surat Metro projects. The company has an order book of Rs 27,890 crores as of June 30, 2023.

Shares of Titagarh Rail Systems Limited jumped from Rs 155.90 on October 04, 2022, to Rs 769.95 on, October 03, 2023, an increase of about 390 per cent in the one-year holding period. The company is a part of the S&P BSE SmallCap Index. Furthermore, the shares of the company have also delivered multibagger returns of over 1500 per cent in the last three years.

The stock has shown tremendous growth, and investors should keep a close eye on this stock.

Disclaimer: The article is for informational purposes only and not investment advice.