Texmaco Rail & Engineering Limited (TEXRAIL) AI Stock Analysis

• Market Cap: ₹51.92B
• Dividend Yield: 0.56%
• Average Volume (3M): 80.18K
• Price to Earnings (P/E): 24.0
• Beta (1Y): 2.10
• Revenue Growth: 13.15%
• EPS Growth: 6.26%
• Country: IN
• Employees: 1,969
• Sector: Industrials
• Sector Strength: 72
• Industry: Industrial - Machinery
• EPS (TTM): N/A
• Shares Outstanding: 406,864,560
• 10 Day Avg. Volume: 79,124
• 30 Day Avg. Volume: 80,177
• PEG Ratio: 0.25
• Price to Book (P/B): 1.97
• Price to Sales (P/S): 1.08
• P/FCF Ratio: -9.54
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 63 Neutral
• Price Target: ₹137.00 ▲(0.37% Upside)

The overall stock score of 63 reflects strong financial performance with robust revenue growth and improved profitability, offset by significant cash flow challenges. Technical analysis indicates a bearish trend with a lack of strong momentum. Valuation metrics suggest the stock is fairly valued, but with a low dividend yield.

Positive Factors

Revenue Growth

Strong revenue growth indicates expanding market demand and effective sales strategies, positioning the company for continued expansion in the railway and engineering sectors.

Profitability Improvement

Improved profitability margins reflect better cost management and operational efficiency, enhancing the company's ability to reinvest in growth and innovation.

Stable Balance Sheet

A stable balance sheet with a strong equity position provides financial resilience, enabling the company to withstand economic fluctuations and invest in long-term projects.

Negative Factors

Rising Leverage

Rising leverage could increase financial risk, potentially limiting the company's ability to finance new projects or weather downturns without impacting its creditworthiness.

Cash Flow Challenges

Negative cash flow indicates potential liquidity issues, which may hinder the company's ability to fund operations and growth initiatives without external financing.

Liquidity Concerns

Liquidity concerns could restrict the company's operational flexibility and ability to capitalize on new opportunities, necessitating careful cash management.

Texmaco Rail & Engineering Limited Business Overview & Revenue Model

Company Description

Texmaco Rail & Engineering Limited operates as an engineering and infrastructure company in India. It operates through three segments: Heavy Engineering, Steel Foundry, and Rail EPC. The company offers payload stainless/high tensile steel freight, commodity-specific, special purpose freight, bottom discharge coal hopper, container flat, tank, defense equipment, and auto car wagons; and coach bogies, loco-shells, loco bogies, loco components, EMU coaches, underframes, and parcel and brake vans. Its steel foundries produce bogies, couplers, draft gears, draw bars, CMS crossings, high axle load bogie and shroud castings, center plates, floating yokes, and AAR yokes and followers, as well as industrial castings for defence, earth moving equipment, and hydro power projects. The company also provides various gates; bifurcation, trifurcation, transition, expansion joints, manifolds, reducers, dismantling joints, fixed and rocker, and supports and specials; stoplogs/bulkhead gates, hydraulics, rope drums, hoists, screw hoists, travelling hoists, etc.; knife edge gate value/filling-in valves; trashracks/screens; trash rack cleaning machines; goliath/EOT cranes/lifting beams; and refurbishment/replacement and overhauling of HM equipment of old hydro projects/barrages. It offers automation dam and barrage, and other equipment; design, supply, installation, and commissioning services for railway tracks, buildings, platforms and foot over bridges, railway signaling and telecom structures, bridges and culverts, and automatic fare collection systems; and railway overhead and other electrification services, as well as installs other power supplies. The company also provides industrial structures, steel/concrete flyovers, concrete and steel bridges, and ship hull blocks, as well as fabricates and erects steel bridges in railways and roadways, and bailey bridges. It also exports its products. The company was incorporated in 1998 and is based in Kolkata, India.

How the Company Makes Money

Texmaco Rail & Engineering Limited generates revenue through the manufacture and sale of a range of rail products and services. The company's primary revenue streams include the sale of freight cars and wagons, steel castings, and hydro-mechanical equipment. Additionally, Texmaco Rail undertakes large-scale infrastructure projects, providing end-to-end engineering solutions which contribute significantly to its revenue. The company often partners with government bodies and private firms to execute these projects, leveraging its expertise in the rail engineering sector. Furthermore, Texmaco Rail benefits from long-term contracts and government tenders, which provide a steady source of income.

Texmaco Rail & Engineering Limited Financial Statement Overview

Summary

Texmaco Rail & Engineering Limited shows strong revenue growth and improved profitability margins. However, cash flow challenges pose a risk, requiring attention to liquidity management. The balance sheet remains stable with prudent equity management, although rising leverage warrants careful monitoring.

Income Statement

Texmaco Rail & Engineering Limited has demonstrated strong revenue growth with a significant increase of 45.75% in 2025 compared to 2024. The gross profit margin has remained stable, averaging around 16% over the years, indicating efficient cost management. Net profit margin improved significantly to 4.88% in 2025 from 3.23% in 2024, reflecting enhanced profitability. The EBIT and EBITDA margins have also shown positive trends, underscoring operational efficiency improvements.

Balance Sheet

The balance sheet shows a favorable equity position, with an equity ratio of 57.82% in 2025, indicating financial stability. The debt-to-equity ratio has increased from 0.25 in 2024 to 0.34 in 2025, suggesting a moderate rise in leverage. However, return on equity improved from 4.47% in 2024 to 8.91% in 2025, highlighting better asset utilization and profitability.

Cash Flow

The cash flow statements reveal challenges in generating free cash flow, with a significant decline to -5791 million in 2025. The operating cash flow to net income ratio turned negative, indicating cash flow management issues. The free cash flow to net income ratio is unfavorable, suggesting potential liquidity concerns. However, financing activities have provided some relief through increased cash inflows.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	49.29B	51.07B	35.03B	22.43B	16.22B	16.89B
Gross Profit	7.80B	8.22B	3.62B	4.44B	4.48B	4.19B
EBITDA	4.70B	4.67B	3.08B	1.71B	1.62B	1.43B
Net Income	2.19B	2.49B	1.13B	260.26M	205.00M	141.58M
Balance Sheet
Total Assets	0.00	48.37B	41.85B	33.85B	26.64B	26.42B
Cash, Cash Equivalents and Short-Term Investments	2.93B	2.93B	3.27B	309.58M	563.62M	581.98M
Total Debt	0.00	9.48B	6.31B	9.84B	7.10B	7.79B
Total Liabilities	-28.30B	20.07B	16.55B	19.95B	13.36B	15.03B
Stockholders Equity	28.30B	27.97B	25.33B	13.92B	13.31B	11.41B
Cash Flow
Free Cash Flow	0.00	-5.79B	136.55M	-1.56B	114.11M	320.16M
Operating Cash Flow	0.00	-465.78M	957.81M	-1.03B	271.70M	403.14M
Investing Cash Flow	0.00	-955.72M	-6.33B	-760.67M	203.55M	-230.12M
Financing Cash Flow	0.00	1.72B	5.33B	1.51B	-119.52M	-131.31M

Texmaco Rail & Engineering Limited Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 136.50
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:TEXRAIL, the sentiment is Neutral. The current price of 136.5 is above the 20-day moving average (MA) of 126.01, above the 50-day MA of 128.13, and below the 200-day MA of 143.04, indicating a neutral trend. The MACD of -1.69 indicates Negative momentum. The RSI at 51.76 is Neutral, neither overbought nor oversold. The STOCH value of 80.56 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for IN:TEXRAIL.

Texmaco Rail & Engineering Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IRCON	65 Neutral	₹154.15B	25.37	―	1.56%	-13.85%	-34.81%
RITES	64 Neutral	₹109.77B	26.32	―	3.24%	-5.23%	3.21%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
TEXRAIL	63 Neutral	₹51.92B	24.01	―	0.56%	13.15%	6.26%
BEML	63 Neutral	₹149.50B	50.10	―	0.29%	-1.31%	3.61%
KEC	60 Neutral	₹177.58B	25.20	―	0.74%	12.21%	56.50%
TITAGARH	60 Neutral	₹110.58B	55.38	―	0.12%	-14.65%	-36.95%

Texmaco Rail & Engineering Limited Corporate Events

Texmaco Rail’s Panihati Engineering Udyog to Cease as Wholly Owned Subsidiary After New Share Issue

Texmaco Rail & Engineering Limited has announced that its wholly owned subsidiary, Panihati Engineering Udyog Private Limited, will cease to be a subsidiary following a fresh equity issue to new investors from the promoter group. The Board has approved the issuance of 31,500 new equity shares of Rs 10 each in Panihati Engineering Udyog, amounting to Rs 3.15 lakh, which will dilute Texmaco’s ownership once these shares are acquired and is expected to complete within a month; given that Panihati contributed no income and a negligible net worth of Rs 0.01 crore in the last financial year, the move suggests a minor financial impact but signals a rationalisation of Texmaco’s corporate structure and capital allocation across group entities.

Texmaco Rail & Engineering Reports Strong Q2 FY26 Performance Amid Strategic Growth

Texmaco Rail & Engineering Limited reported strong financial performance in Q2 FY26, with revenue of ₹1,258 crore and EBITDA of ₹132 crore, despite initial supply constraints and export challenges due to US tariffs. The company successfully integrated Texmaco West Rail Limited, improving operational efficiency, and secured new orders across freight wagons and traction systems. It is well-positioned to contribute to Indian Railways’ capital expenditure initiatives, focusing on electrification and safety upgrades. The collaboration with Hörmann Vehicle Engineering GmbH aims to enhance design services for passenger mobility and locomotives, while the adoption of the 2×25 kV electrification system by Indian Railways is expected to drive further demand.