Jupiter Wagons Jumps 6% After ₹600 Cr Order from Ambuja Cements & ACC
Stock Price Surge : Jupiter Wagons
Jupiter Wagons Limited, a key player in railway wagon manufacturing, brake systems, and electric mobility solutions, saw its stock surge 6% after securing a ₹600 crore order from Ambuja Cements and ACC Limited.
During Wednesday’s trading session, the stock touched an intraday high of ₹335.70, marking a 5.55% jump from its previous close of ₹318.05. The stock opened at ₹321.05 and is currently trading at ₹327.75, pushing its market capitalization to approximately ₹13,912.92 crore.
Massive Order from Ambuja Cements & ACC
Jupiter Wagons Limited has received a Letter of Acceptance (LOA) from Ambuja Cements and ACC Limited, subsidiaries of Adani Cement, for the manufacture and supply of BCFCM Rakes Wagon with BVCM Wagon. The deal, worth ₹600 crore, strengthens Jupiter Wagons’ position in the railway freight segment.
This order adds significant value to the company’s already strong order book, which stood at ₹6,320 crore as of December 31, 2024. The company continues to gain traction as one of India’s leading railway component suppliers, capitalizing on the growing demand for freight transport solutions.
Electric Mobility Expansion & Innovations
Apart from strengthening its railway business, Jupiter Wagons is also aggressively expanding its electric mobility division. Through its subsidiary, Jupiter Electric Mobility (JEM), the company is building a comprehensive EV ecosystem:
- Launch of JEM Saathi App: Partnering with Pulse Energy, Jupiter Wagons launched an app providing vehicle services, local business discovery, and access to 1,300+ fast chargers.
- Growing Service Network: With partnerships like Automovill and Battwheels, Jupiter Wagons has added over 140 service stations across India.
- Stake Expansion in Jupiter Electric Mobility: The company increased its stake in JEM from 60% to 75% and acquired Log9 Technology to enhance battery technology for electric trucks and railway applications.
The company also introduced Battery-as-a-Service (BaaS) for its TEZ vehicles, offering cost-effective per-kilometer leasing. Through the JEM Udaan program, Jupiter Wagons has secured over 500 orders for TEZ vehicles in collaboration with Porter.
Financial Performance & Growth Outlook
Jupiter Wagons has set ambitious growth targets. The company aims to achieve ₹5,000 crore in revenue by FY26, growing its wagon business by 10%-15%. By FY28, it plans to reach ₹8,000-10,000 crore in revenue, with strong contributions from non-wagon segments.
The company’s subsidiary, Jupiter Tatravagonka, generated ₹225 crore in revenue over the first nine months of FY25 and expects to reach ₹300 crore by year-end.
Quarterly Performance
Jupiter Wagons reported strong financial growth in Q3 FY25:
| Metric | Q3 FY24 | Q3 FY25 | Growth (%) |
|---|---|---|---|
| Revenue | ₹896 crore | ₹1,030 crore | 14.96% |
| Net Profit | ₹81 crore | ₹98 crore | 18.52% |
This steady increase in revenue and profit underscores the company’s ability to scale its operations efficiently.
Capital Raising & Investment Strategy
Jupiter Wagons has also approved a ₹3,000 crore Qualified Institutional Placement (QIP), though it clarified that this is an enabling resolution and not an immediate fundraising move. Previously, the company raised ₹800 crore, which was utilized for wheel project advancements. The management continues to assess additional funding needs based on future expansion opportunities.
Business Highlights & Future Prospects
- Railway Component Expansion: The company successfully commercialized its Tatravagonka Railwheel Factory, expecting to double revenue from the previous year.
- Supply to Indian Railways: Delivered 13,000 brake discs and exported 10,000 axle boxes. Additionally, it supplied 230 brake systems for passenger coaches, strengthening its railway component business.
- Robust Order Book: As of December 31, 2024, Jupiter Wagons’ order book stands at ₹6,320 crore, ensuring strong revenue visibility for the future.
Key Financial Ratios
| Metric | Value |
|---|---|
| Market Cap | ₹13,620 Cr. |
| Current Price | ₹321 |
| 52-Week High / Low | ₹748 / ₹300 |
| Stock P/E | 35.9 |
| Book Value | ₹60.3 |
| Dividend Yield | 0.31% |
| Return on Capital Employed (ROCE) | 31.7% |
| Return on Equity (ROE) | 27.4% |
| Debt to Equity Ratio | 0.16 |
| Industry P/E | 35.4 |
| Total Debt | ₹400 Cr. |
| PEG Ratio | 0.45 |
| Intrinsic Value | ₹341 |
| Graham Number | ₹111 |
| Piotroski Score | 6.00 |
| Price to Book Value | 5.31 |
| ROIC (Return on Invested Capital) | 24.6% |
Conclusion
Jupiter Wagons Limited is riding high on strong fundamentals, strategic expansions, and a robust order pipeline. The latest ₹600 crore order from Ambuja Cements & ACC adds to its revenue visibility, while its aggressive push into electric mobility signals future growth potential.
With an ambitious target of ₹10,000 crore revenue by FY28 and a well-diversified portfolio spanning railways and EVs, Jupiter Wagons is well-positioned to capitalize on India’s infrastructure and mobility boom. Investors and stakeholders will closely watch the company’s execution strategy as it continues on its growth trajectory.
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Disclaimer: This blog post is for informational purposes only and should not be considered financial advice. Investors should conduct thorough research and consult with a qualified financial advisor before making any investment decisions.