Rs 14,750 crore order book & 52-week high alert: Heavy buying in this multibagger railway wagons stock with a spurt in volume by more than 12 times

The stock gave multibagger returns of 260 per cent in just 1 year and a whopping 2,600 per cent returns in 3 years.

Today, shares of Titagarh Rail Systems Ltd (Formerly Titagarh Wagons Limited) surged 12.2 per cent to Rs 1,815.05 per share from its previous closing of Rs 1,618.15. At the closing bell, shares of the company were trading at Rs 1,766.90 per share, up 9.19 per cent with a spurt in volume by more than 11.6 times on BSE.  

Titagarh Rail Systems Ltd a leading railway wagon company in India, mainly manufactures and sells freight wagons, passenger coaches, metro trains, train electricals, steel castings, specialized equipment and bridges, ships, etc. The company is also expanding its capacity and setting up component facilities in both operating segments. The company has a market cap of over Rs 23,000 crore.

According to the Quarterly Results, the net sales increased by 8 per cent to Rs 1,052.41 crore, operating profit increased by 31.5 per cent to Rs 134.75 crore and net profit increased by 56.3 per cent to Rs 81.16 crore in Q4FY24 compared to Q4FY23.

In its annual results, the net sales increased by 38.6 per cent to Rs 3,853.30 crore, operating profit increased by 60.7 per cent to Rs 491.74 crore and net profit increased by 108.6 per cent to Rs 288.75 crore in FY24 compared to FY23.

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Order Book: The order book stands at Rs 14,750 crore as of March 31, 2023 (Passenger Rolling Stocks orders amounting to Rs 6,750 crore and Freight Rolling Stocks orders amounting to Rs 8,000 crore).

Earlier, despite initial delays in a December 2019 contract between BMRCL and CRRC Nanjing Puzhen for supplying trainsets to Bangalore's Yellow Line, Titagarh Rail Systems (TRSL), a leading Indian manufacturer, stepped in. Through a Memorandum of Understanding, CRRC partnered with TRSL, who began producing 34 of the 36 trainsets at their Uttarpara facility, with only 2 coming from China. Committed to meeting project specifications, TRSL established a dedicated stainless steel production line and commenced manufacturing on May 18th, 2024, targeting an August 2024 delivery for the first trainset. This 21-kilometer Yellow Line, stretching from RV Road to Bommasandra, is a critical metro corridor designed to improve Bengaluru's connectivity and traffic flow. Titagarh's involvement underscores their dedication to national infrastructure projects with dependable transportation solutions. Their diverse manufacturing capabilities solidify their leadership in the rail industry, while their past investments in advanced production technologies and focus on quality and innovation continue to fuel their success and contributions to India's infrastructure development.

The promoters of the company sold a 5.37 per cent stake in the company and decreased their stake to 42.46 per cent in March 2024 compared to 47.82 per cent in March 2023. The stock gave multibagger returns of 260 per cent in just 1 year and a whopping 2,600 per cent returns in 3 years. Investors should keep an eye on this Small-Cap stock.

Disclaimer: This article is for informational purposes only and not intended as investment advice.