Indian Railway Catering & Tourism Corp. Ltd. (IRCTC) AI Stock Analysis

• Market Cap: ₹544.68B
• Dividend Yield: 1.32%
• Average Volume (3M): 76.22K
• Price to Earnings (P/E): 39.7
• Beta (1Y): 1.27
• Revenue Growth: 7.66%
• EPS Growth: 14.36%
• Country: IN
• Employees: 1,407
• Sector: Services
• Sector Strength: N/A
• Industry: Railroads
• EPS (TTM): 4.20
• Shares Outstanding: 800,000,000
• 10 Day Avg. Volume: 77,850
• 30 Day Avg. Volume: 76,220
• PEG Ratio: 2.40
• Price to Book (P/B): 15.81
• Price to Sales (P/S): 12.39
• P/FCF Ratio: 76.02
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: ₹900.00
• Price Target Upside: 32.44% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 72 Outperform
• Price Target: ₹797.00 ▲(17.28% Upside)

Indian Railway Catering & Tourism Corp. Ltd. scores well due to its strong financial performance, characterized by robust growth and financial stability. However, the stock's valuation appears high, which could limit upside potential. Technical indicators suggest moderate momentum, but resistance levels may pose challenges. The absence of earnings call and corporate events data means these factors do not influence the score.

Positive Factors

Revenue Growth

Consistent revenue growth at a CAGR of over 20% indicates strong market demand and effective business strategies, enhancing long-term sustainability.

Cash Flow Generation

Robust cash flow generation supports operational funding and investment needs, reducing reliance on external financing and enhancing financial stability.

Balance Sheet Health

A strong balance sheet with low leverage enhances resilience against economic downturns and provides flexibility for strategic investments.

Negative Factors

Valuation Concerns

High valuation ratios may limit future stock price appreciation, potentially deterring value-focused investors and impacting long-term investment attractiveness.

Limited Earnings Call Data

Lack of earnings call data limits transparency and investor insight into management's strategic direction and future outlook, affecting investor confidence.

Moderate Technical Strength

Moderate technical indicators suggest potential resistance, which could hinder stock performance and investor sentiment in the medium term.

Indian Railway Catering & Tourism Corp. Ltd. Business Overview & Revenue Model

Company Description

Indian Railway Catering & Tourism Corporation Limited provides catering and hospitality, Internet ticketing, travel and tourism, and packaged drinking water services in India. It operates through five segments: Catering, Railneer, Tourism & Train Operation, State Teertha, and Internet Ticketing. The company offers mobile catering services, including Rajdhani, Shatabdi and Duronto; mail express, train side vending, Gatiman, and Tejas and Vande Bharat; e-catering; and other catering services, such as food plaza, fast food units, refreshment rooms, Jan Ahaars, cell kitchen, base kitchen, executive lounges, retiring rooms, RYN/BNR hotels, and non-railway catering. In addition, the company offers tourism products and services comprising domestic tour packages, inbound tourist targeted tours, mass tourism, outbound tour packages, and air ticket and corporate travel; and other tourism activities, such as event management, booking of charter trains and coaches, hill and heritage charters, saloon tours and charters, online reservation and accommodation facilities, and adventure tourism. Further, it offers packaged drinking water under the Rail Neer name; and train ticket booking and travel insurance services, as well as operates irctctourism.com, a tourism portal. The company was incorporated in 1999 and is based in New Delhi, India.

How the Company Makes Money

IRCTC generates revenue through multiple streams, primarily from e-ticketing services, where it earns a service charge on every ticket booked through its online platform. Additionally, the company derives income from catering services provided on trains and at railway stations, which includes meal services and food delivery options. The tourism sector also contributes significantly to its revenue, as IRCTC organizes packaged tours and travel-related services. Moreover, IRCTC earns revenue through advertising on its platforms, partnerships with hotels and travel agencies, and by offering value-added services to passengers. Strategic collaborations with various stakeholders, including state tourism boards and private operators, further enhance its revenue potential.

Indian Railway Catering & Tourism Corp. Ltd. Financial Statement Overview

Summary

Indian Railway Catering & Tourism Corp. Ltd. demonstrates strong financial performance with robust revenue growth, solid profitability metrics, and efficient cost management. The company maintains a healthy balance sheet with low leverage and strong cash flow generation, supporting its financial health and resilience.

Income Statement

Indian Railway Catering & Tourism Corp. Ltd. has demonstrated strong revenue growth, with a compound annual growth rate (CAGR) of over 20% in the last few years. The company maintains solid profitability metrics, with a gross profit margin consistently above 35% and increasing EBIT and EBITDA margins, indicating efficient cost management and operational effectiveness. Net profit margins have also been strong, highlighting robust bottom-line performance.

Balance Sheet

The company exhibits a healthy balance sheet with a low debt-to-equity ratio, reflecting financial stability and low leverage risk. The equity ratio indicates a strong asset base backed by equity, enhancing financial resilience. The return on equity has been impressive, driven by high net income, showcasing effective use of shareholder capital.

Cash Flow

Cash flow generation is strong, underpinned by a consistent increase in free cash flow over the years. The operating cash flow to net income ratio is robust, demonstrating efficient conversion of earnings into cash. The company has shown a positive trajectory in free cash flow growth, reinforcing its capacity to fund operations and investments without heavily relying on external financing.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	47.17B	46.75B	42.70B	35.41B	18.78B	7.77B
Gross Profit	17.39B	17.16B	19.33B	14.07B	9.60B	2.57B
EBITDA	18.57B	18.27B	15.59B	14.24B	9.42B	3.10B
Net Income	13.38B	13.15B	11.11B	10.06B	6.60B	1.87B
Balance Sheet
Total Assets	0.00	68.00B	60.91B	50.89B	38.84B	31.53B
Cash, Cash Equivalents and Short-Term Investments	22.70B	26.57B	22.76B	19.30B	17.30B	14.59B
Total Debt	0.00	897.96M	603.50M	841.62M	1.05B	794.57M
Total Liabilities	-36.63B	31.37B	28.61B	26.10B	20.14B	16.97B
Stockholders Equity	36.63B	36.63B	32.30B	24.78B	18.70B	14.56B
Cash Flow
Free Cash Flow	0.00	7.62B	6.50B	7.43B	5.02B	1.70B
Operating Cash Flow	0.00	8.10B	8.82B	8.12B	5.24B	2.48B
Investing Cash Flow	0.00	-2.29B	-2.00B	-3.17B	-2.42B	-4.53B
Financing Cash Flow	0.00	-9.10B	-4.04B	-4.34B	-2.58B	-468.47M

Indian Railway Catering & Tourism Corp. Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 679.55
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:IRCTC, the sentiment is Neutral. The current price of 679.55 is above the 20-day moving average (MA) of 674.65, below the 50-day MA of 693.58, and below the 200-day MA of 725.61, indicating a neutral trend. The MACD of -4.57 indicates Negative momentum. The RSI at 49.23 is Neutral, neither overbought nor oversold. The STOCH value of 76.14 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for IN:IRCTC.

Indian Railway Catering & Tourism Corp. Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IRCTC	72 Outperform	₹544.68B	39.70	―	1.32%	7.66%	14.36%
RAILTEL	66 Neutral	₹115.28B	35.95	―	0.79%	29.92%	22.87%
THOMASCOOK	63 Neutral	₹67.97B	26.63	―	0.32%	11.02%	-9.59%
BHARTIHEXA	62 Neutral	₹902.90B	58.55	―	0.78%	―	―
DELHIVERY	57 Neutral	₹308.14B	218.61	―	―	9.17%	1685.95%
Sector *	55 Neutral	$13.29B	17.42	10.03%	0.93%	7.13%	-12.93%
ITDC	53 Neutral	₹49.42B	68.42	―	0.50%	6.56%	4.21%

Indian Railway Catering & Tourism Corp. Ltd. Corporate Events

IRCTC Faces Fines for Board Composition Non-Compliance

Indian Railway Catering & Tourism Corporation Limited (IRCTC) has been fined by both BSE and NSE for non-compliance with SEBI regulations concerning board composition, specifically the absence of a woman director for the quarter ending September 30, 2025. Despite the fines, IRCTC states that the penalties do not impact its financial or operational activities and has requested a review, citing its status as a government company where director appointments are managed by the Ministry of Railways.

Supreme Court Ruling Favors IRCTC in Catering Dispute

The Indian Railway Catering & Tourism Corporation Limited (IRCTC) announced that the Supreme Court of India has ruled in its favor, overturning previous judgments by the Delhi High Court and an Arbitral Tribunal regarding a dispute with Brandavan Foods Pvt. Ltd. and other caterers. The Supreme Court found that the claims made by the caterers lacked a contractual and legal basis, thus absolving IRCTC of any financial liability. This judgment ensures that there is no financial or operational impact on IRCTC, reinforcing its authority to modify menus and tariffs unilaterally as per contractual terms and Railway Board circulars.

IRCTC Announces Trading Window Closure Ahead of Financial Results

Indian Railway Catering & Tourism Corporation Limited has announced the closure of its trading window in compliance with SEBI regulations, effective from October 1, 2025, until 48 hours after the announcement of its unaudited financial results for the quarter and half-year ending September 30, 2025. This move is part of IRCTC’s adherence to insider trading regulations, ensuring that designated persons and their immediate relatives refrain from trading the company’s securities during this period, which underscores the company’s commitment to regulatory compliance and transparency.

IRCTC Appoints New Director for Catering Services

Indian Railway Catering & Tourism Corporation Limited has announced the appointment of Shri Manoj Kumar Sharma as the Director of Catering Services on a regular basis, effective September 22, 2025. With 28 years of experience in various roles within the Indian Railways, Sharma’s appointment is expected to strengthen IRCTC’s catering operations and enhance its service offerings, potentially impacting its market position positively.

IRCTC Reduces Rail Neer Prices Following GST Cut

Indian Railway Catering and Tourism Corporation Limited has announced a revision in the Maximum Retail Price (MRP) of its Rail Neer bottled water, following a reduction in Goods and Services Tax (GST) on Packaged Drinking Water from 18% to 5%. This price adjustment, effective from September 22, 2025, aligns with government directives to pass on the tax reduction benefits to railway passengers, potentially enhancing customer satisfaction and maintaining IRCTC’s competitive edge in the market.

IRCTC Entrusts Additional Charge of Director (Catering Services) to Manoj Kumar Sharma

IRCTC has announced the ex-post facto approval for Manoj Kumar Sharma to take on the additional charge of Director (Catering Services). This decision, approved by the Ministry of Railways, is effective from August 1, 2025, and will remain until a regular appointment is made or further orders are issued. This move is significant for IRCTC as it ensures continuity in leadership within its catering services division, which is crucial for maintaining operational efficiency and service quality.