Titagarh Rail Systems' shares surged nearly 9.4%, hitting a five-month peak of ₹1217 per share after robust financial results.
The company reported a 64% increase in consolidated net profit to ₹79 crore for Q4, with revenue climbing 8% to ₹1,052.4 crore.
For FY 24, Titagarh achieved 38.59% revenue growth to ₹3,853 crore, and net profit soared 126% to ₹286 crore.
Increased capital expenditure by the Indian government has spurred significant order inflows, boosting railway stocks' demand.
Titagarh shares delivered a 367% return in 2023 and have jumped 14% in 2024. Over five years, investors saw a 2185% return.
Morgan Stanley rates Titagarh as 'Overweight' with a target price of ₹1,285, citing growth in passenger coach business and metro projects.
Titagarh is the only Indian company producing both stainless steel and aluminum metro coaches, positioning it for significant growth.