RPAZ Trades at 9.9 Times Annualised Spring Profit, Versus 22.4 for TORZ; Sahmino Has a Buy Call on RPAZ (Saturday, October 17, 2026)

Using audited profit for the Iranian fiscal year ended March 20, 2026, Rail Processor New Afarin (RPAZ) trades at a price-to-earnings ratio (P/E) of 4.3 and Tocairel (TORZ) at 5.0, both below the transport sector's 7.9 reading on October 15. Their spring 2026 results diverged, however: RPAZ's net profit rose 45% from a year earlier while TORZ's fell 66%. Multiply each spring quarter by four, and the multiples become 9.9 and 22.4 respectively. Thus the answer to which share is cheaper depends on the earnings denominator. The prices used are their October 17 closing prices, 3,040 and 3,440 rials respectively.

Background

Both shares trade on Farabourse's second market and belong to transport. RPAZ files ticket and service revenue; TORZ carries steelmakers' raw materials by rail and maintains their internal rail lines. This comparison uses the companies' standalone Codal statements for the unaudited quarter ended June 21, 2026 (tracking numbers 1573892 and 1569363) and the audited fiscal year ended March 20, 2026 (1594945 and 1525490). Filed amounts are in million rials: 10,000 million rials equal one billion tomans. Standalone and consolidated earnings must not be mixed.

The numbers: two multiples, two answers

• Audited annual profit through March 20, 2026: 8,093,526 million rials for RPAZ and 9,947,837 million rials for TORZ. Against current share counts of 11.5 billion and 14.4 billion following their capital increases, those imply 704 and 691 rials per share. At the October 17 closes, 3,040 divided by 703.8 gives 4.3, and 3,440 divided by 690.8 gives 5.0.
• RPAZ, spring 2026 versus spring 2025: revenue was 6,539,640 against 4,351,073 million rials (up 50%); operating profit 969,914 against 853,463 (up 14%); and net profit 880,996 against 608,030 (up 45%).
• TORZ over the same quarters: revenue was 10,754,521 against 14,278,355 million rials (down 25%); operating profit 208,364 against 1,228,296 (down 83%); and net profit 553,453 against 1,637,427 (down 66%).
• Stress test: four times spring net profit equals 3,523,984 million rials at RPAZ and 2,213,812 million at TORZ. October 17 market capitalisations were 34,960,000 and 49,536,000 million rials. Division gives 9.9 and 22.4 times annualised spring profit.
• Six-month revenue through September 22, 2026: the monthly filings add to 16,005,056 million rials at RPAZ, 81% of its full fiscal 2025-26 revenue of 19,731,930; TORZ booked 27,163,190 million, 38% of its previous full year of 71,026,822.

The mechanism is the denominator, not a change in the share's identity. In fiscal 2025-26, RPAZ earned 5,581,858 million rials of its 8,122,526 million pre-tax profit, about 69%, from non-operating items. Spring 2026 non-operating income was only 116,290 million rials, about 13% of quarterly pre-tax profit. Multiplying a quarter by four is not a forecast; it asks what multiple today's price would command if the latest quarter repeated.

Drivers and the objection

RPAZ. Monthly revenue climbed from 1,371,774 million rials in July 2026 to 3,152,332 million in August and 4,941,310 million in September. But spring selling, general and administrative costs climbed from 282,455 million rials a year earlier to 637,363 million (up 126%). That is why operating profit increased just 14% despite 50% more revenue. Its April 26 capital-raising decision took capital from 9.5 trillion to 11.5 trillion rials. Of the increase, 703 billion rials came from shareholder claims and cash, diluting holders who did not participate. On October 17, the Tehran Stock Exchange index fell from 8,425,725 at its October 14 close to 8,265,156 (1.9%), and RPAZ closed at the 3,040-rial lower band with 49.2 million shares in the sell queue.

TORZ. Revenue for July, August and September was 4,323,073, 5,486,135 and 6,599,461 million rials; the 16,408,669 million booked in those three months was 53% above spring revenue. Yet spring gross margin was 3.3%, against 11.2% in the entire fiscal 2025-26 year, while 67% of spring pre-tax profit came from non-operating items. Some 75% of six-month revenue was tied to a 60-month freight contract with Mobarakeh Steel, providing continuity but concentrating customer exposure. Revenue growth alone does not establish a recovery in profit margins.

Outlook: Sahmino's calls

From its October 14 session, Sahmino's desk has a buy stance on RPAZ at a 3,130-rial reference price, a 3,307-rial target, 2,761-rial invalidation and 60-session horizon. Its counted record for that type was 176 target hits in 191 settled cases, not a certainty for this stock. A shorter, still-open MACD-cross signal filed October 13 targets 3,314.5 rials, with invalidation at 2,971 rials over 15 sessions and an entry limit of 3,257 rials. Its stated target hit rate is 72%, with a 64% lower bound; no random-entry comparison is available. At the October 17 close of 3,040 rials, the share was 8.3% below that signal target, measured against the target, and 2.3% above invalidation, measured against invalidation. Across the desk, 3,214 of 5,386 settled signals hit target and 2,076 invalidated; 680 of 1,334 settled stances hit target and 590 invalidated.

A real entry condition is for the 49.2-million-share sell queue to clear. If the roughly 3% price band persists, next session's floor could be around 2,950 rials, crossing the 2,971-rial signal invalidation. Sahmino also has an October 14 TORZ buy stance targeting 3,945 rials, invalidated at 3,395 over 15 sessions. Its October 17 close of 3,440 rials sits only 1.3% above that invalidation, and an earlier TORZ desk buy from September 19 was invalidated at a 9.9% loss. Follow the dated prices and calls on RPAZ's Sahmino page and TORZ's page. For another earnings-denominator comparison see the FSAZ analysis, and for a desk-call example see the PGOP analysis.

Bottom line

Using annualised spring profit, RPAZ at 9.9 is cheaper than TORZ at 22.4; on audited fiscal 2025-26 profit both look inexpensive and the difference is smaller, 4.3 versus 5.0. RPAZ reaches 3,314 rials within 15 sessions provided no session closes below 2,971 rials, with entry conditional on its 49.2-million-share sell queue at 3,040 rials clearing. This is Sahmino's October 13 signal reading; a close below 2,971 rials invalidates it. TORZ needs its upcoming half-year statement to show that spring was its profit trough.

What to watch

Neither company's half-year financial statement through September 22 had entered our filing archive by October 17, and no official publication date has been confirmed. The spring reports appeared roughly a month after their reporting periods. The test is RPAZ's share of non-operating profit in the next quarter and whether TORZ's gross margin rises above its 3.3% spring level. RPAZ closing below 2,971 rials would void the shorter signal before those accounts arrive.