Titagarh Rail Systems IRCON, IRFC, Jupiter Wagons: Railway shares rally for second straight session, here is why

Shares of railway related companies rose for a second straight session on Tuesday, December 23, after reports suggested that government could increase its outlay towards railways in the upcoming Union Budget in February. Analysts added that revision in fares by the Indian Railways is also leading to strong sentiment towards railway related shares.

Ircon International shares rose as much as 13.11% to hit an intraday high of ₹177.38 on the National Stock Exchange (NSE) on Tuesday, December 23, amid higher than usual trading volumes.

Ircon International shares were witnessing higher than usual trading volumes. On the NSE, over 4 crore shares changed hands against an average trading volume of 22.49 lakh shares translating into spike in trading volumes by nearly 18 times.

On the BSE, as many as 29.35 lakh shares changed hands compared with an average of 2.43 lakh shares traded daily in the past two weeks.

Shares of Jupiter Wagons rose for a second straight session, and the stock has jumped as much as 38% to ₹358 in two days.

Rail Vikas Nigam rose 3.5%, IRFC climbed 4.65%, Titagarh Rail Systems rose 3.78%, IRCTC gave up intraday gains to trade on a flat note and RITES rose nearly 5%.

Indian Railways announced a revised fare structure starting from December 26, 2025. Under the revised railway fare, passengers travelling up to 500 km will have to pay an additional ₹10 for both AC and non-AC coaches. Meanwhile, short-distance journeys remain unaffected as there is no fare increase for journeys under 215 km in ordinary class.

For journeys beyond 215 km, there will be a fare hike of 1 paise per km in ordinary class, and 2 paise per km for Mail/Express non-AC and AC classes. Indian Railways has clarified that its move to increase fares, mainly on longer routes, is aimed at generating revenue to meet increased expenses. The fare hike is projected to boost railway earnings by ₹600 crore, helping cover rising manpower costs and other expenses.