titagarh rail systems share

Titagarh rail systems is named after its birthplace in Titagarh town, West Bengal
The company’s name is Titagarh because they started from Titagarh (W. Bengal) and right now have two manufacturing units at Titagarh.

What does titagarh rail systems do ?

Freight Rolling Stock (Freight Rail Systems)

This is the largest and core business segment. Products include: freight wagons (box, hopper, tank, flat, container flats), locomotive shells, bogies, couplers, draft gears, CMS crossings, brake vans, and other associated components.

Passenger Rolling Stock (Passenger Rail Systems)

Focuses on metro coaches, passenger coaches, train electricals, propulsion and control systems, semi-high speed and light rail vehicles.
This segment is expanding rapidly: Though it constituted just ~5–6% of revenue last year, it’s expected to grow to ~50–60% within 4–5 years.

Shipbuilding, Marine & Others (“Other” Segment)

Includes shipbuilding (diving support craft, naval vessels, ferries), bridge manufacturing, defense equipment, and other specialized industrial products.
The company has built diving support craft for the Indian Navy and other marine assets.

Peers of titagarh rail systems share

Why titagarh rail systems Stock went up from FY22-24?

Govt focus on railway
Railway budget increased from 2.1 lac cr to 2.6lac cr
Orderbook increased from 5600cr in FY21 to 27k cr in FY24
Operating leverage & high value coaches orders increased margins.

Why titagarh rail systems Stock fell from FY24-25?

No increase in Railway budget ie FY24 and FY25 same – 2.65lac cr
Orderbook reduced 27k cr to 24k cr

Orderbook of titagarh rail systems Stock

titagarh rail systems share price target

Passenger Rail Systems: In this segment, the company manufactures passenger coaches for semi-high-speed trains, electric multiple-unit trainsets, and urban rail systems to meet the demands of modern rail travel.

Pune Metro – with its associate partner Firema S.p.A, Italy
Bangalore Metro – subcontractor to CRRC
Vande Bharat manufacturing & maintenance – JV with BHEL
Surat and Ahmedabad metro projects.

Titagarh rail systems Stock Growth Prospects/Triggers:

Started getting order for Metros & Vande Bharat coaches.H2 FY27 or FY28 will start seeing revenue from Vande Bharat, and Vande bharat have 16 coaches against metro which have 3( Surat , Ahmedabad metro) or 6 coaches( Bangalore metro) per train.Also getting shipbuilding orders.

Backward integration- Also providing other products like Propulsion system, wheel sets that will increase wallet share & margins.
Capacity expansion going on (1000cr combining FY25+26+27) ( Promoter infused 200cr through warrants at 945/share). Plan to make wheels/wheel set under JV with RK Forging. Phase 1 will live by Q1 FY27.

Optionality- Value unlocking if Ship & Defense business demerge into separate entities.