Titagarh Rail Systems Ltd (TITAGARH) AI Stock Analysis

• Market Cap: ₹104.63B
• Dividend Yield: 0.1%
• Average Volume (3M): 98.84K
• Price to Earnings (P/E): 43.8
• Beta (1Y): 1.44
• Revenue Growth: -5.24%
• EPS Growth: -21.41%
• Country: IN
• Employees: 870
• Sector: Industrials
• Sector Strength: 85
• Industry: Railroads
• EPS (TTM): 6.89
• Shares Outstanding: 134,673,770
• 10 Day Avg. Volume: 119,240
• 30 Day Avg. Volume: 98,843
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: ₹991.00
• Price Target Upside: 23.98% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 64 Neutral
• Price Target: ₹991.00 ▲(23.98% Upside)

Titagarh Rail Systems Ltd's strong revenue growth and stable capital structure are significant positives. However, cash flow challenges and an overvalued stock based on P/E ratio constrain the score. Technical indicators show mixed signals, further adding caution to the stock's outlook.

Titagarh Rail Systems Ltd Business Overview & Revenue Model

Company Description

Titagarh Rail Systems Ltd (TITAGARH) is an Indian company primarily engaged in the manufacturing and supply of railway wagons, passenger coaches, and other specialized equipment for the railway sector. The company operates in the transportation industry, with a focus on providing high-quality, customized solutions for both freight and passenger rail systems. Titagarh also extends its services to the defense sector, supplying bridges and other related infrastructure components.

How the Company Makes Money

Titagarh Rail Systems Ltd generates revenue through the sale of its railway products, which include freight wagons, passenger coaches, and locomotives. The company secures contracts from both government and private sector clients, including Indian Railways and various international rail operators. Significant revenue streams include manufacturing and selling rail wagons and coaches, providing maintenance and repair services, and fulfilling defense sector contracts. Strategic partnerships and joint ventures with global companies enhance Titagarh's market reach and technological capabilities, further contributing to its earnings.

Titagarh Rail Systems Ltd Financial Statement Overview

Summary

Titagarh Rail Systems Ltd demonstrates strong revenue and profit growth with a stable capital structure. However, cash flow challenges, such as negative free cash flow growth and operating cash flow, pose risks to future operations. The company should address cash flow issues to maintain its growth trajectory.

Income Statement

Titagarh Rail Systems Ltd has shown strong revenue growth over the years, with a notable increase in gross profit margins. The revenue growth rate from 2024 to 2025 is modest. Net profit margin remains solid, indicating effective cost management. However, a slight decline in EBIT and EBITDA margins from 2024 suggests potential cost pressures.

Balance Sheet

The company's balance sheet reflects a healthy equity ratio, suggesting a strong capital structure. The debt-to-equity ratio has increased, indicating a higher leverage but still within manageable levels. Return on equity is strong, reflecting effective use of shareholders' funds.

Cash Flow

Cash flow analysis reveals a concerning trend with negative free cash flow growth, primarily due to increased capital expenditures. Operating cash flow is negative, which could impact future liquidity. The free cash flow to net income ratio is unfavorable, pointing to cash flow challenges despite profitability.

Breakdown	Mar 2025	Mar 2023	Mar 2024	Mar 2022	Mar 2021
Income Statement
Total Revenue	38.68B	27.80B	38.53B	14.68B	15.21B
Gross Profit	8.22B	3.20B	5.07B	2.14B	1.49B
EBITDA	5.08B	3.06B	4.71B	1.83B	1.05B
Net Income	2.76B	1.30B	2.86B	-3.28M	-149.97M
Balance Sheet
Total Assets	37.62B	23.29B	32.16B	26.79B	24.74B
Cash, Cash Equivalents and Short-Term Investments	4.67B	999.83M	6.09B	420.56M	1.24B
Total Debt	6.27B	3.53B	1.66B	9.20B	8.47B
Total Liabilities	12.78B	13.65B	9.98B	18.37B	16.33B
Stockholders Equity	24.83B	9.64B	22.18B	8.42B	8.41B
Cash Flow
Free Cash Flow	-3.67B	-418.85M	-777.30M	-1.06B	-533.66M
Operating Cash Flow	-1.31B	-51.44M	857.93M	-38.75M	66.27M
Investing Cash Flow	-6.08B	-506.57M	-5.37B	-731.11M	-745.24M
Financing Cash Flow	4.36B	1.02B	7.24B	93.89M	1.07B

Titagarh Rail Systems Ltd Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 799.35
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:TITAGARH, the sentiment is Negative. The current price of 799.35 is below the 20-day moving average (MA) of 873.04, below the 50-day MA of 903.93, and below the 200-day MA of 943.84, indicating a bearish trend. The MACD of -29.93 indicates Positive momentum. The RSI at 34.43 is Neutral, neither overbought nor oversold. The STOCH value of 13.74 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:TITAGARH.

Titagarh Rail Systems Ltd Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
RITES	67 Neutral	₹120.22B	31.16		1.98%	-7.20%	-9.50%
TITAGARH	64 Neutral	₹104.63B	43.80		0.10%	-5.24%	-21.41%
KEC	62 Neutral	₹212.85B	34.85		0.69%	10.78%	50.46%
BEML	61 Neutral	₹164.71B	54.21		0.51%	-2.17%	6.12%
IRCON	60 Neutral	₹158.57B	23.75		1.75%	-13.80%	-30.89%
TEXRAIL	60 Neutral	₹55.47B	22.25		0.36%	40.17%	66.21%
Sector *	58 Neutral	HK$13.61B	5.40	-2.78%	5.74%	2.29%	-57.49%

Titagarh Rail Systems Ltd Corporate Events

Titagarh Rail Systems Ltd Expands with New Subsidiary and Strategic Initiatives

Titagarh Rail Systems Ltd announced the establishment of a new wholly-owned subsidiary, Titagarh Naval Systems Private Limited, to enhance its focus on shipbuilding and maritime systems. This strategic move aims to unlock the full potential of its SMS business by creating a dedicated structure and attracting strategic investors. Additionally, the company approved its unaudited financial results for the quarter ended June 30, 2025, and is exploring growth strategies for its Defense and Bridges business, including potential partnerships.

Titagarh Rail Systems Ltd EGM Resolution Passed Successfully

Titagarh Rail Systems Ltd announced the results of its Extraordinary General Meeting held on August 8, 2025, where a resolution was passed with the requisite majority. The voting results and the scrutinizer’s report are available on the company’s website, indicating a successful conclusion to the meeting, which may impact the company’s strategic decisions and stakeholder interests.

Titagarh Rail Systems Secures Major Mumbai Metro Contract

Titagarh Rail Systems Ltd has secured a significant contract from NCC Limited for the Mumbai Metro Rail Project, valued at approximately INR 1598.55 Crores. This contract involves the design, manufacture, supply, and commissioning of 108 metro coaches, along with a comprehensive maintenance plan, enhancing Titagarh’s position in the rail industry and potentially impacting its operational growth and market presence.

Titagarh Rail Systems to Raise Rs. 199.99 Crores via Convertible Warrants

Titagarh Rail Systems Ltd has announced its decision to raise funds by issuing up to 21,16,402 warrants, convertible into equity shares, to its promoter group on a preferential basis, amounting to Rs. 199.99 Crores. This strategic move, subject to necessary approvals, aims to strengthen the company’s capital structure and enhance its market positioning, with an Extra-Ordinary General Meeting scheduled for August 8, 2025, to seek shareholder approval.

Titagarh Rail Systems to Raise Rs. 199.99 Crores via Convertible Warrants

Titagarh Rail Systems Ltd announced the approval of a preferential issue of 21,16,402 convertible warrants to raise approximately Rs. 199.99 crores. This strategic move is aimed at strengthening the company’s capital base, with the issuance directed towards the promoter category, specifically Mrs. Rashmi Chowdhary and Mr. Prithish Chowdhary. The funds raised are expected to support the company’s growth initiatives and enhance its competitive positioning in the rail industry. An Extra-Ordinary General Meeting is scheduled for August 8, 2025, to seek shareholder approval for this issuance.