Today, we recommend two stocks, one from the railway sector and another from the chemical sector, recommended by the Trade Brains Portal, to buy for an upside potential of more than 27%. As of 2025, Indian Railways has expanded its network by 35,000 km and annually produces about 30,000 wagons and 1,500 locomotives. By 2050, India is expected to contribute nearly 40% of global rail activity.
Meanwhile, the domestic industrial explosives market continues to grow, supported by a rise in mining operations to meet the increasing demand for minerals and metals across industries. We also analyzed the market’s performance on Thursday to understand what may lie ahead for the stock indices in the coming days.
1. Jupiter Wagons Ltd
- CMP: Rs 322
- Target: Rs 410
- Upside: 27.31%
- Time frame: 12 Months
To view the report for the stock mentioned above or explore other stock recommendations, click here
Why it’s recommended
Jupiter Wagons Limited (JWL), founded in 1979, is a prominent manufacturer of integrated mobility solutions with a wide-ranging product lineup. The company designs and produces freight wagons, locomotives, commercial vehicles, ISO marine containers, and critical components such as Couplers, draft gears, bogies, CMS crossings, brake discs, brake systems, wheels, axles, and wheel sets. Operating through five manufacturing facilities and supported by in-house foundry capabilities, JWL serves diverse industries, including Indian Railways, Defence, Commercial Vehicles, Electric LCVs, and Logistics. As of Q1 FY26, it maintains a strong order book worth Rs 5,972 crore.
In Q1 FY26, Jupiter Wagons Limited recorded revenue of Rs 459 crore, compared to Rs 879.8 crore in Q1 FY25. The company reported an EBITDA of Rs 60 crore and a profit after tax of Rs 31 crore. The revenue decline was primarily attributed to limited wheelset supplies from the Railway Wheel Factory under Indian Railways. Despite the first-quarter setback, management reaffirmed its projection of 10-15% revenue growth and EBITDA margins of 14-15% for FY26.
A key capital investment initiative, the Orissa Project entails an outlay of Rs 2,500 crore to be executed in phases across FY26 and FY27. The company inaugurated its first exclusive EV showroom in Bengaluru in June 2025 and aims to open an additional 4-6 showrooms by September 2025. It also plans to introduce two new eLCV models in FY26, with payload capacities of 2 tons and 1 ton, respectively.
The company signed an MOU with Pickkup to deploy 300 JEM TEZ vehicles by year-end, aligned with the PM E-Drive initiative. The company’s segment-wise revenue Break-up: the battery business is expected to reach Rs 200-300 crore by FY27, Rs 500-1,000 crore (battery + vehicle) by FY28. The Brake systems business is expected to cross Rs 250 crore in FY26 and Rs 300-500 crore from FY27. The wagon revenue is expected to remain at Rs 4,000-4,500 crore for FY26-28. The wheelset revenue is expected to achieve Rs 550 crore in FY26 and Rs 1,000 crore in FY27, scaling up to Rs 2,000-3,000 crore in FY28 as the Orissa facility comes online.
Risk factors
The company receives major orders from industrial customers, private logistics players, and Indian Railways. However, these orders may be subject to reduction if there are shifts in budgetary allocations. Rising raw material costs, particularly steel, could also impact operational efficiency. Furthermore, delays in project execution or a decline in customer demand could intensify pressure on the company’s profitability.
2. Solar Industries Ltd
- CMP: Rs 14,022
- Target: Rs 16,600
- Upside: 18.39%
- Time frame: 12 Months
To view the report for the stock mentioned above or explore other stock recommendations, click here
Why it’s recommended
Solar Industries India began producing packaged explosives and detonators between 1996 and 2000. It has since developed a wide range of innovative, high-quality solutions for mining, infrastructure, construction, defense, and space. As of FY25, it operates 40+ manufacturing units, has 10,000+ suppliers, and exports to over 90 countries. In FY25, the company supplied 600,000 MT of explosives and invested Rs 1,182 crore in Capex. As of Q1 FY26, it holds an order book of Rs 16,800 crore, including Rs 15,000 crore+ from defence and Rs 1,800 crore from Coal India Ltd & Singareni Collieries Company Ltd.
In Q1 FY26, the company recorded revenue from operations of Rs 2,154.54 crore, reflecting a 28% year-on-year growth. It achieved its highest-ever quarterly EBITDA of Rs 564 crore and profit after tax of Rs 353 crore. During the same period, revenue from Coal India stood at Rs 238 crore compared to Rs 246 crore in Q1 FY25, while revenue from non-CIL clients rose to Rs 348 crore from Rs 304 crore.
Income from the housing and infrastructure segment amounted to Rs 312 crore, versus Rs 353 crore a year earlier. The company’s international business expanded by 43% YoY to Rs 826 crore, its best quarterly performance to date, fueled by production across nine countries and a distribution footprint spanning 90 nations.
In the current quarter, the company’s defence revenue reached Rs 418 crore, marking a strong 115% YoY increase. It maintains a robust defence order book of approximately Rs 15,000 crore. For FY26, management projects total revenue of Rs 10,000 crore, with Rs 3,000 crore expected from defence operations and the remainder from non-defence segments.
The company has earmarked Rs 2,500 crore in capital expenditure for FY26 to drive growth, enhance technological capabilities, and expand its product lineup in advanced ammunition and aerospace systems. In alignment with the Government of India’s Atmanirbhar Bharat initiative, it has entered into an MoU worth Rs 12,700 crore with the Government of Maharashtra to invest in defence and aerospace projects over the next ten years.
Risk factors
The company faces exposure to regulatory risks due to the stringent nature of the explosives industry, which demands industrial licenses and multiple government clearances. Its partial reliance on imported raw materials and operations across Nigeria, Ghana, Zambia, South Africa, and Turkey also subjects it to foreign exchange volatility. Additionally, the company carries significant sector concentration risk, as a large share of its revenue comes from the mining industry, making its performance partly dependent on the level of mining activity within the country.
Market Recap 23/10/2025
On Thursday, the Nifty 50 opened on a positive note at 26,057.2, up 188.6 points from its previous close of 25,868.6. The index continued to move upwards, hitting a 52-week high of 26,104.2, crossing above the 26,100 level for the first time since September 2024, before closing at 25,888.9, up 20.3 points, or 0.078%. The index remained above all key moving averages (20/50/100/200-day EMAs) on the daily chart, indicating strong technical support.
The BSE Sensex mirrored the Nifty’s trend, opening at 85,154.15, up 727.81 points from the previous close of 84,426.34. It followed a similar pattern to the Nifty 50 and hit a 52-week high at 85,290.06, finally closing at 84,556.4, a gain of 130.05 points, or 0.15%. Both indices showed strong momentum, with RSI values for Nifty 50 at 72.69 and Sensex at 72.92, surpassing the overbought threshold of 70.
The Bank Nifty Index also ended in positive territory, increasing 70.85 points, or 0.12%, to 58,078.05, and also hit a 52-week high at 58,577.5. The rise was mainly due to strong optimism around the India-US trade deal, strong domestic and foreign inflows, and positive global cues amid expectations of a US Federal Reserve rate cut.
The Nifty IT Index was the biggest gainer, gaining 2.2%, or 778.9 points, to 36,078.65. Stocks like Infosys Ltd, HCL Technologies Ltd, TCS Ltd, and Mphasis Ltd saw gains of up to 3.8%. The Nifty Private Bank Index also posted gains, advancing 0.5%, or 140.2 points, to 28,567.1. Key stocks like Bandhan Bank Ltd, IDFC First Bank Ltd, Axis Bank Ltd, and Kotak Mahindra Bank were up by over 3.2%. The Nifty CPSE Index followed the positive trend for the third consecutive session, closing at 6,607.05, up 0.44%, or 28.75 points. Oil India Ltd gained 2.7%, while other CPSE stocks, such as ONGC Ltd and Coal India Ltd, saw gains of up to 1.7%.
The Nifty Oil & Gas Index was the major loser on Thursday, declining -0.57%, or -66.45 points, closing at 11,601.15. The shares of Hindustan Petroleum Corporation Ltd dropped the most, declining by -3.23%, followed by Indian Oil Corporation Ltd, Bharat Petroleum Corporation Ltd. and Reliance Industries Ltd. dropped by up to -2.6%.
The Nifty Healthcare Index ended in the red at 14,986.65, losing -49.30 points, or -0.33%. The shares of Fortis Healthcare Ltd fell by -4.41%, followed by Cipla Ltd, Biocon Ltd, and Dr. Reddy’s Laboratories Ltd, which declined by up to -1.11%. The Nifty Infrastructure Index also fell on Thursday, closing at 9,413.85, losing -51.95 points, or -0.55%.
Asian markets followed a mixed sentiment on Thursday. Japan’s Nikkei 225 lost -1.31%, losing -636.79 points, to close at 48,671. However, Hong Kong’s Hang Seng rose by 0.51%, or 131.23 points, closing at 25,913. Similarly, China’s Shanghai Composite also gained 0.22%, or 8.65 points, to 3,922.41. Whereas, South Korea’s KOSPI Index fell by -0.99%, or -38.12 points, ending at 3,845.56. At 4:37 p.m. IST, U.S. Dow Jones Futures were down -0.10%, at 46,548.93, a drop of 41 points.
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