Shares of Titagarh Rail Systems Ltd. gained on Wednesday after it started exporting traction converters for approximately Rs 65 crore to Italy. The first batch of eight converters was shipped to Titagarh Firema, Italy on July 19.
The export is part of an order received by Titagarh Rail from Firema and also marks the first dispatchment of traction converters from the passenger rolling stock facility in Titagarh, India.
Firema received an order from Regione Lazio, Italy, to design, manufacture, and supply 38 trainsets with a speed of 100 km per hour.
The traction converters for the first batch of 11 trains will be supplied by Italy to the Regione Lazio Viterbo line, operating at 3 kilovolts, along with the Regione Lazio Lido line, operating at 1.5 kV.
Titagarh Rail Systems will supply two train sets or eight converters each month to complete the order, it said.
Shares of the company rose as much as 3.83% to Rs 1,649 apiece, the highest level since July 23. It pared gains to trade 2.80% lower at Rs 1,632.65 apiece as of 9:56 a.m. This compares to a 0.1% decline in the NSE Nifty 50 Index.
The stock has risen 157.35% in the last 12 months. Total traded volume so far in the day stood at 0.6 times its 30-day average and 56.56% year-to-date. The relative strength index was at 50.35.
Six out of eight analysts tracking the company maintain a 'buy' rating and two recommend a 'hold,' according to Bloomberg data. The average 12-month consensus price target implies a downside of 11.2%.
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