Titagarh Rail stock gets price target downgrade from HSBC, check details 

Multibagger stock: Shares of Titagarh Rail Systems have received a downgrade from global brokerage HSBC in terms of price targets. HSBC revised its target price downward to Rs 1,425 from Rs 1,980. However, the fresh price target indicates an upside of 18% to the price of Rs 1,205 in the previous session. The awarding of metro rolling stock contracts has resumed after the conclusion of recently held state elections, which presents a robust opportunity pipeline for the company. However, the execution of ongoing metro and Vande Bharat orders has been slower than initially anticipated, prompting a downward revision of estimates.

Consequently, HSBC trimmed its price target based on these lower estimates and a revised valuation multiple.

In the current trading session, the stock was trading on a flat note. 

Titagarh Rail shares slipped 0.33% to Rs 1201.70 on Monday. Market cap of the firm stood at Rs 16183 crore. Total 0.24 lakh shares of the firm changed hands amounting to a turnover of Rs 2.92 crore. Titagarh Rail stock has clocked multibagger returns of 1244% in three years and zoomed 2516% in five years. 

The stock touched its 52-week low of Rs 782.10 on March 13, 2024 and a 52 week high of Rs 1896.50 on June 27, 2024. 

Titagarh Rail stock has a one-year beta of 1.5, indicating very high volatility during the period.    

In terms of technicals, the relative strength index (RSI) of the stock stands at 54.7, signaling it's trading neither in overbought nor in the oversold zone. 

In the September 2024 quarter, Titagarh Rail Systems logged a 14 percent year-on-year rise in net profit to Rs 81 crore against Rs 71 crore in the same period last year. Revenue rose 13% to Rs 1057 crore in Q2 from Rs 935 crore in the corresponding quarter of the previous fiscal year.

Total expenses climbed to Rs 953 crore in Q2 against Rs 821 crore posted by its in Q1FY25 and Rs 847 crore in the year ago period.

Titagarh Rail Systems 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.