Texmaco Rail shares climb 19% in a month; here's what technical analysts say

Texmaco Rail & Engineering Ltd shares were trading 2.07 per cent higher at Rs 233.85 in Tuesday's trade. At this price, the stock has moved up 19.13 per cent in the past one month. Yesterday, the private rail firm secured an order worth Rs 187 crore.

"We write to inform you that the Company has received an order for construction of 9 (nine) No.132KV transmission lines on a turnkey basis (Total RL: 291 km approx.) valuing Rs 187.41 crore approx. from Chhattisgarh State Power Transmission Co Ltd, a Government of Chhattisgarh Undertaking, vide its letter of acceptance no. 02-04/SE(TL)/TR-23/12/LOA/ No 2009 dated December 16, 2024, to be executed over a period of 15 months," it stated in a BSE filing.

Technically, the counter looked 'bullish' on daily charts. Support could be seen in the Rs 210-222 range.

Osho Krishan, Senior Research Analyst - Technical & Derivatives at Angel One, said, "Texmaco Rail has witnessed a strong spurt in price and volumes from the cluster of its EMAs on daily charts. This action has led to a 'Double Bottom' breakout, construing a bullish setup. On the level-specific front, Rs 215-210 is anticipated to cushion any shortcoming. While with the counter-trend, the stock seems poised to test the Rs 250-255 subzone in the comparable period."

Jigar S Patel, Senior Manager - Technical Research Analyst at Anand Rathi, said, "The expected trading range will be between Rs 220 and Rs 250 for the short term."

Sebi-registered research analyst AR Ramachandran said, "Texmaco Rail stock price is bullish on daily charts with strong support at Rs 222."

The counter traded higher than the 5-day, 10-, 20-, 30-, 50-, 100-, 150-day and 200-day simple moving averages (SMAs). The counter's 14-day relative strength index (RSI) came at 63.75. A level below 30 is defined as oversold while a value above 70 is considered overbought.

The company's stock has a price-to-equity (P/E) ratio of 55.45 against a price-to-book (P/B) value of 3.54. Earnings per share (EPS) stood at 4.13 with a return on equity (RoE) of 6.38.

The Kolkata-headquartered private engineering and infrastructure company manufactures railway wagons, coaches and locomotives. As of September 2024, promoters held a 48.14 per cent stake in the company.