40% Dividend: Railway Stock Gains On Inaugurating Engineering Centre, Analysts Give Buy

Mid cap railway stock operating in railway wagons industry, Titagarh Rail Systems today jumped 7.78% on BSE to Rs 1301 per share. Titagarh Rail Systems shares offered attractive return of 208% in last 1-year. The company on June 5 inaugurated new engineering centre in Bangalore, furthering its innovation and design journey. Titagarh Rail Systems recommended a dividend of Re 0.80 per share on May 15 and yet to declare the record date for the same. Titagarh Rail Systems carried out stock split once so far in the year 2015 when it split face value of its shares from Rs 10 to Rs 2 in 2015.The share traded ex-split as on April 23, 2015. Check key details below:

Titagarh Rail Systems Inaugurates Engineering Centre In Bangalore: As per the BSE filing, "The state-of-the-art facility will be dedicated to new product development for Train Control & Monitoring Systems (TCMS) and advanced Propulsion Systems, revolutionizing the future of rail transportation in the country. The engineering Centre will also play a key role in executing TRSL's current and upcoming rolling stock & propulsion projects like Surat & Ahmedabad Metro, Vande Bharat, ICF EMU/MEMU etc. demonstrating Company's unwavering commitment to the 'Make-in-India' and 'Aatmanirbhar Bharat' initiative towards a Viksit Bharat."

"We are incredibly proud to inaugurate our new engineering centre in Bangalore. It is a hub of exciting engineering talent that will serve as a perfect opportunity for aspiring young engineers to support ever growing vision of Titagarh. The facility reaffirms our commitment to pushing the envelope in implementing cuttingedge rail technology while contributing to build an enhanced connectivity in the country," said Mr Umesh Chowdhary, Vice Chairman and Managing Director, Titagarh Rail Systems Limited.

Titagarh Rail Systems Recommended Dividend On May 15: As per the BSE filing of Titagarh Rail Systems dated May 15, 2024, "Recommendation of dividend of 40% (i.e. Re. 0.80) per equity share of Rs. 2/- each for the financial year 2023-2024. The dividend as recommended by the Board is subject to approval of the shareholders at the ensuing Annual General Meeting of the Company, date of which will be intimated in due course."

Titagarh Rail Systems Stock Split History: Titagarh Rail Systems split the face value of its share once since April 23, 2015. Titagarh Rail Systems last split the face value of its shares from Rs 10 to Rs 2 in 2015.The share traded ex-split as on April 23, 2015.

Analysts Recommend Buying Titagarh Rail Systems Shares: Leading brokerage firm Nuvama Institutional Equities recommended buying Titagarh Rail Systems shares with target price of Rs 1475 per share. According to the analyst, "Titagarh Rail reported an 8 per cent YoY increase in Q4 FY24 revenue to Rs 1,050 crore. EBITDA margin rose 160 bps YoY to 11.4 per cent, aided by operating leverage. The company ended the quarter with an order book of Rs 28,100 crore (of which Rs 14,800 crore is to be executed over the next three to five years). Management expects work on the Bengaluru, Surat and Ahmedabad metro rail coaches in the current fiscal, and to deliver 950-1,000 wagons/month."

Meanwhile, Sharekhan too recommended buy call to Titagarh Rail with target price of Rs 1425 with stop loss at Rs 1190 per share.

Titagarh Rail Systems Shares Performance & Return: The 52-week high price of Titagarh Rail Systems shares on BSE is Rs 1,597.20 apiece (as on 03/06/2024) and 52-week low price is Rs 395.10 apiece (as on 09/06/2023), respectively. Its market capitalisation stood at Rs 17,518.36 crore. Titagarh Rail Systems shares slipped 12% in last 1-week, offered attractive return of 45% in last 3-months, gained 1068% in last 2-years, and surged massively by 2201% in last 3-years only. In last 5-years, Titagarh Rail Systems shares gained an impressive 1877%.

Titagarh Rail Systems About: Titagarh stretches its global reach and presence through factories in India and Italy. It caters to passenger rolling stock including trains and metros as well. Its product range expands to include electric propulsion equipment such as traction motors and vehicle control systems. Titagarh also designs and manufactures wagons such as container flats, grain hoppers, cement wagons, clinker wagons, and tank wagons, according to its official website.

Disclaimer:

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