There was a sudden rise in the shares of Titagarh Rail Systems, which had fallen by more than 8 percent in the last one month. A jump of 6 percent was seen in the stock during intraday. Let us know why this railway share made a run?
Reason for rise in shares
The reason for the rise in the shares of Titagarh Rail Systems is the big move by Morgan Stanley Asia Singapore Pte. Morgan Stanley Asia Singapore Pte has bought a stake in the railway company through a big deal. Under the deal, 0.57% stake in the company or 7.63 lakh shares has been purchased at an average price of ₹1,120 per share. The stake purchase amount was ₹85.5 crore. Smallcap World Fund Inc sold 0.59% stake in the company at an average price of ₹1,120 per share, amounting to ₹88.6 crore.
If you look at the market cap of the company, it was ₹ 15,251 crore. Shares of Titagarh Rail Systems have achieved multibagger returns of 1019% in 3 years and a gain of 603% in two years. The stock’s 52 week low of the company was ₹703.80 on August 18, 2023 and reached its record high of ₹1896.50 on June 27, 2024.
From a technical point of view, the stock’s Relative Strength Index (RSI) is at 37.2, which indicates that it is neither overbought nor oversold. Shares of Titagarh Rail Systems are below 20 day, 30 day, 50 day, 100 day, 150 day and 200 day moving averages, but above 5 day and 10 day moving averages. Its one-year beta is 0.7, indicating very low volatility over this period.
The business of Titagarh Rail Systems is involved in the manufacturing and sale of freight wagons, passenger coaches, metro trains, train electrical, steel castings, special equipment and bridges and ships. The company operates in three segments: freight rolling stock, passenger rolling stock and shipbuilding, bridge and defence.
Disclaimer: This information is for informational purposes only and should not be construed as investment advice. It is recommended to consult a financial advisor before making investment decisions.