Texmaco Rail

Market Cap: Mid Cap
Industry: Railways
ISIN: INE621L01012
NSEID: TEXRAIL
BSEID: 533326

INR

133.40

3.55 (2.73%)

BSENSE

Apr 11, 12:53 PM

BSE+NSE Vol: 7.7 lacs

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Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Texmaco Rail

Rites

Titagarh Rail

Oriental Rail

Texmaco Infrast.

Why is Texmaco Rail & Engineering Ltd ?

Low ability to service debt as the company has a high Debt to EBITDA ratio of 4.74 times

Low ability to service debt as the company has a high Debt to EBITDA ratio of 4.74 times
The company has been able to generate a Return on Equity (avg) of 4.26% signifying low profitability per unit of shareholders funds

With a growth in Net Profit of 171.27%, the company declared Very Positive results in Dec 24

The company has declared positive results for the last 9 consecutive quarters
PAT(9M) At Rs 209.41 cr has Grown at 208.45 %
NET SALES(9M) At Rs 3,760.22 cr has Grown at 59.45 %
PBT LESS OI(Q) At Rs 85.05 cr has Grown at 114.12 %

Stock is technically in a Bearish range

The technical trend has deteriorated from Mildly Bearish on 01-Feb-25 and has generated -25.01% returns since then
Multiple factors for the stock are Bearish like MACD, Bollinger Band and KST

With ROCE of 10.9, it has a Very Attractive valuation with a 1.7 Enterprise value to Capital Employed

The stock is trading at a discount compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of -21.12%, its profits have risen by 195.4% ; the PEG ratio of the company is 0.1

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Texmaco Rail should be less than 10%
Overall Portfolio exposure to Railways should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Railways)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Texmaco Rail for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Texmaco Rail

-21.07%

-0.40

53.28%

SENSEX

0.45%

0.03

14.48%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

19.01%

EBIT Growth (5y)

22.52%

EBIT to Interest (avg)

1.44

Debt to EBITDA (avg)

5.39

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

0.97

Tax Ratio

32.30%

Dividend Payout Ratio

17.64%

Pledged Shares

Institutional Holding

16.60%

ROCE (avg)

6.45%

ROE (avg)

4.26%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

1.94

EV to EBIT

14.26

EV to EBITDA

12.97

EV to Capital Employed

1.74

EV to Sales

1.20

PEG Ratio

0.11

Dividend Yield

0.39%

ROCE (Latest)

10.86%

ROE (Latest)

7.78%

Loading Valuation Snapshot...

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

Mildly Bearish

OBV

Mildly Bullish

Mildly Bearish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

33What is working for the Company

PAT(9M)

At Rs 209.41 cr has Grown at 208.45 %

NET SALES(9M)

At Rs 3,760.22 cr has Grown at 59.45 %

PBT LESS OI(Q)

At Rs 85.05 cr has Grown at 114.12 %

ROCE(HY)

Highest at 11.82 %

DEBTORS TURNOVER RATIO(HY)

Highest at 4.43 times

EPS(Q)

Highest at Rs 1.92

-4What is not working for the Company

INTEREST(HY)

At Rs 74.95 cr has Grown at 34.85%

Loading Valuation Snapshot...

Here's what is working for Texmaco Rail

Profit Before Tax less Other Income (PBT) - Quarterly

At Rs 85.05 cr has Grown at 114.12 %

Year on Year (YoY)

MOJO Watch

Near term PBT trend is very positive

PBT less Other Income (Rs Cr)

Profit After Tax (PAT) - Quarterly

At Rs 76.72 cr has Grown at 151.6 %

Year on Year (YoY)

MOJO Watch

Near term PAT trend is very positive

PAT (Rs Cr)

Net Sales - Quarterly

At Rs 1,326.14 cr has Grown at 47.93 %

Year on Year (YoY)

MOJO Watch

Near term sales trend is very positive

Net Sales (Rs Cr)

Profit Before Tax less Other Income (PBT) - Quarterly

Highest at Rs 85.05 cr. and Grown

each quarter in the last five quarters

MOJO Watch

Near term PBT trend is very positive

PBT less Other Income (Rs Cr)

Profit After Tax (PAT) - Quarterly

Highest at Rs 76.72 cr. and Grown

each quarter in the last five quarters

MOJO Watch

Near term PAT trend is very positive

PAT (Rs Cr)

Debtors Turnover Ratio- Half Yearly

Highest at 4.43 times and Grown

each half year in the last five half yearly periods

MOJO Watch

Company has been able to settle its Debtors faster

Debtors Turnover Ratio

Earnings per Share (EPS) - Quarterly

Highest at Rs 1.92

in the last five quarters

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (Rs)

Here's what is not working for Texmaco Rail

Interest - Half Yearly

At Rs 74.95 cr has Grown at 34.85%

over previous Half yearly period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (Rs cr)