RVNL, Titagarh Rail, Jupiter Wagons, Rites — Railway Stocks Decline As Capex Growth Eases
Rites stock shed 8.3% in early trade, while RVNL, RailTel, Titagarh Rail Systems Ltd. and Jupiter Wagons Ltd. shares fell over 7%.

Railway stocks, led by public-sector players like Rites Ltd., Rail Vikas Nigam Ltd. and RailTel Corp., declined for the second day in a row on Monday as the Union Budget 2025 kept spending level unchanged, dampening growth prospects for the sectoral players.
Rites stock shed 8.3% in early trade, while RVNL, RailTel, Titagarh Rail Systems Ltd. and Jupiter Wagons Ltd. shares fell over 7%.
Ircon International Ltd., Indian Rail Finance Corp. and Texmaco Rail and Engineering declined over 5%. BEML Ltd. shares lost 6%.

Finance Minister Nirmala Sitharaman allocated Rs 2.52 lakh crore for the financial year 2025-26 as gross budgetary support to the Ministry of Railways, the same as last year. The amount has steadily increased over the last 10 years, from Rs 28,174 crore in 2013-14.
India has been investing heavily in expanding the rail network, adding both passenger and freight capacity at a rapid pace. The capex has led to massive order books for wagon-makers.
In its latest financial report, Jupiter Wagons revealed an orderbook of Rs 6,320 crore as of December, 2024.
Titagarh Rail's deal pipeline stood at Rs 12,207 crore as of September, comprising orders for approximately 14,560 wagons and 1,592 metro and Vande Bharat coaches.
Texmaco Rail's orderbook as of September 2024 was Rs 8,194 crore. Income from freight car division contributed 84% to the company's revenue in the December quarter.
The government has raised its capex target to Rs 11.21 lakh crore in fiscal 2026 from Rs 11.11 lakh crore. However, it missed its capex target by more than 8% in FY25, due to election-related spending curbs in 2024. As against a targeted Rs 11.11 lakh crore, it spent Rs 10.18 lakh crore.