Multibagger stock rose 785% in three years; fell off record high in previous session

Shares of Titagarh Wagons Ltd have rallied 785% in the last three   years. The smallcap stock, which closed at Rs 32.8 on April 9, 2020 rose to a high of Rs 290.40 on the BSE today. An amount of Rs 1 lakh invested in the shares of Titagarh Wagons three years ago would have turned into Rs 8.85 lakh today. In comparison, Sensex has risen 96.15 per cent during the period.

However, in the current session, Titagarh Wagons stock fell after two days of consecutive gain. The stock declined up to 2.07% to Rs 284 today against the previous close of Rs 290. Earlier, the stock opened flat at Rs 290.20 on BSE.  It hit a record high of Rs 310 on April 12, 2023 and a 52 week low of Rs 93.35 on June 20, 2022.

In terms of technicals, the relative strength index (RSI) of the stock stands at 73.7, signaling it's trading in the overbought zone. Titagarh Wagons shares have a beta of 1, indicating average volatility in a year. Titagarh Wagons shares are trading higher than the 5 day, 20 day, 50 day, 100 day and 200 day moving averages. 

The share has climbed 176% in a year and gained 27.37% this year. Total 0.25 lakh shares of the firm changed hands amounting to a turnover of Rs 72.67 lakh on BSE. Market cap of the firm rose to Rs 3,405.38 crore. 

Nine promoters held 47.82 per cent stake in the firm and 104891 public shareholders owned 52.18 per cent or 6.23 crore shares for the quarter ended December 2022. Of these, 1.01 lakh public shareholders held 2.82 crore shares or 23.59% stake with capital up to Rs 2 lakh. Only 16 shareholders with 4.40% stake held capital above Rs 2 lakh for the quarter ended December 2022. 

In a recent development, Bharat Heavy Electricals Ltd (BHEL) and Titagarh Wagons jointly won a new order from the Ministry of Railways to supply 80 Vande Bharat trains. Each train will cost Rs 120 crore, amounting to a total order size of Rs 9600 crore. The order is to be completed in 72 months. BHEL is the lead member of the consortium.     

In the December quarter of last fiscal, net profit of Titagarh Wagons climbed 2,114% to Rs 32.55 crore against Rs 1.47 crore during the quarter ended December 2021. Sales rose 58.80% to Rs  766.40 crore in Q3 against Rs 482.63 crore during the quarter ended December 2021.   

According to annual earnings for the fiscal ended March 2022, the firm reported a 97.80 per cent fall in losses to  Rs 0.33 crore against a loss of Rs 15 crore in the year ago period.  Losses for March 2020 fiscal stood at Rs 34.19 crore.

Sales zoomed 26.97% to Rs 1930.97 crore in the last fiscal against Rs 1520.64 crore for the fiscal ended March 2021. Sales for fiscal ended March 2020 stood at Rs 1766.32 crore. 

About the Company 

Titagarh Wagons is engaged in the manufacturing and selling of freight wagons, passenger coaches, metro trains, train electricals, steel castings, specialised equipment and bridges, and ships. The company operates through three segments: freight rolling stock, passenger rolling stock, and shipbuilding, bridges & defence.  

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