Best Railway Stocks for January 2026: Jupiter Wagons, Titagarh Rail and More - Based on 5-Yr CAGR

India’s railway sector is seeing major changes, led by government reforms, infrastructure upgrades, and strong support under the Make-in-India program.

This progress is reflected in India becoming a global leader in locomotive manufacturing. In FY 2024–25, India produced a record 1,681 locomotives, more than the combined output of the US, Europe, South America, Africa, and Australia. This highlights India’s growing strength in the global railway industry.

This strong momentum has opened up good opportunities for companies involved in rolling stock, engineering, and transport manufacturing.

Now, let’s look at the best railway stocks for january 2026, selected based on key factors such as 5-year CAGR, market cap, and ROCE.

Best Railway Stocks for January 2026 - 5-Yr CAGR Basis

Note: The list of best railway stocks for January 2026 above is ranked based on their 5-Yr CAGR, and the data is as of Jan 01, 2026.

Overview of the Best Indian Railways Stocks for January 2026

1. Jupiter Wagons

Jupiter Wagons is mainly engaged in metal fabrication, focusing on the manufacturing of load bodies for commercial vehicles, rail freight wagons, and related components.

Key Metrics: 

• ROCE: 21.5 %
• ROE: 17.0%

2. Titagarh Rail Systems Ltd

Titagarh Rail Systems Ltd, formerly known as Titagarh Wagons Limited, was incorporated in 1997 and is primarily involved in manufacturing and selling freight wagons, passenger coaches, metro trains, train electrical systems, steel castings, specialised equipment, bridges, and ships. The company serves both domestic and international markets.

Key Metrics: 

• ROCE: 16.6 %
• ROE: 11.8%

3. Ramkrishna Forgings Ltd

Ramkrishna Forgings Ltd is mainly involved in the manufacturing and sale of forged components used in automobiles, railway wagons and coaches, as well as other engineering applications. It is the second-largest forging company in India.

Key Metrics: 

• ROCE: 6.84 %
• ROE: 14.4%

Best Railway Stocks for January 2026 - Market Cap Basis

Note: The list of best railway stocks for January 2026 above is ranked based on their market cap, and the data is as of Jan 01, 2026.

Best Railway Stocks for January 2026 - ROCE Basis

Note: The list of best railway stocks for January 2026 above is ranked based on their ROCE, and the data is as of Jan 01, 2026.

Also Read: Wipro vs Infosys: Which IT Services Company Delivered Highest Earnings in Q2FY26?

Conclusion

India’s railway sector is going through fast modernisation, backed by strong government support and rising domestic manufacturing. As this change continues, many rail-related companies are showing solid performance in terms of growth, profitability, and overall financial strength.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.