Gorman-Rupp Company (GRC) AI Stock Analysis

• Market Cap: $978.68M
• Dividend Yield: 2.01%
• Average Volume (3M): 56.32K
• Price to Earnings (P/E): 22.0
• Beta (1Y): 0.97
• Revenue Growth: 0.92%
• EPS Growth: 21.96%
• Country: US
• Employees: 1,450
• Sector: Industrials
• Sector Strength: 87
• Industry: Industrial - Machinery
• EPS (TTM): 0.46
• Shares Outstanding: 26,294,376
• 10 Day Avg. Volume: 51,234
• 30 Day Avg. Volume: 56,319
• PEG Ratio: -0.96
• Price to Book (P/B): 2.02
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -155.41
• Enterprise Value/Market Cap: 1.12
• Enterprise Value/Revenue: 0.42
• Enterprise Value/Gross Profit: 5.33
• Enterprise Value/Ebitda: 2.42
• 1Y Price Target: $56.00
• Price Target Upside: 52.42% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 73 Outperform
• Price Target: $41.00 ▲(11.59%Upside)

Gorman-Rupp Company's strong financial performance is the most significant factor, driven by robust revenue and profit growth, strong cash flow generation, and a stable balance sheet. Technical analysis shows mixed signals, with short-term stability but potential long-term concerns. The valuation suggests caution due to a relatively high P/E ratio. Overall, the stock is positioned well financially but faces some technical and valuation challenges.

Gorman-Rupp Company Business Overview & Revenue Model

Company Description

Gorman-Rupp Company (GRC) is a leading manufacturer of pumps and pump systems, serving a diverse range of industries including water, wastewater, construction, industrial, petroleum, and agricultural sectors. The company designs, develops, and produces a wide array of products such as centrifugal, self-priming, and submersible pumps, along with packaged pump stations. With a strong emphasis on quality and innovation, Gorman-Rupp provides efficient and reliable fluid-handling solutions to meet the needs of its global clientele.

How the Company Makes Money

Gorman-Rupp Company generates revenue primarily through the sale of its extensive range of pump products and systems. The company targets various industries, including municipal water and wastewater treatment, construction, industrial, petroleum, agriculture, and fire protection, providing tailored solutions for each sector. A significant portion of its revenue is derived from the manufacturing and distribution of standard and custom-designed pumps. Additionally, Gorman-Rupp may engage in strategic partnerships and collaborations to expand its market reach and product offerings, further contributing to its earnings. Service and maintenance contracts, as well as aftermarket parts and accessories, also play a role in the company's revenue stream, ensuring ongoing customer engagement and support.

Gorman-Rupp Company Financial Statement Overview

Summary

Gorman-Rupp Company demonstrates robust financial health with strong revenue and profitability growth, supported by solid operational efficiency and a stable balance sheet. The cash flow generation is also strong, reinforcing its capacity for future investments. Monitoring asset utilization and maintaining low leverage are key for ongoing success.

Income Statement

The Gorman-Rupp Company shows robust revenue growth and profitability. The TTM revenue growth rate is commendable, with a significant increase from previous years. The gross profit margin is consistently strong, and the net profit margin has shown improvement, reflecting efficient cost management. EBIT and EBITDA margins indicate solid operational efficiency within the industry.

Balance Sheet

The balance sheet demonstrates stability with a healthy equity ratio and low debt-to-equity ratio, indicating prudent financial management. Return on equity is solid, reflecting the company’s ability to generate profits from shareholders' equity. However, the total assets have slightly decreased, which is a point to monitor moving forward.

Cash Flow

Cash flow analysis reveals a strong operating cash flow to net income ratio, suggesting efficient conversion of profits into cash. The free cash flow growth is positive, supporting future investments. The company maintains a healthy free cash flow to net income ratio, reinforcing its ability to generate cash beyond net earnings.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
664.35M	659.67M	659.51M	521.03M	378.32M	348.97M
	Gross Profit
206.26M	204.33M	196.25M	130.94M	95.90M	89.56M
	EBIT
93.14M	91.44M	87.04M	40.18M	27.44M	23.06M
	EBITDA
112.58M	110.22M	113.96M	54.27M	49.16M	43.94M
	Net Income Common Stockholders
44.36M	40.12M	34.95M	11.20M	29.85M	25.19M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
21.84M	24.21M	30.52M	6.78M	125.19M	108.20M
	Total Assets
857.85M	858.47M	890.36M	872.83M	420.75M	394.46M
	Total Debt
352.21M	366.60M	404.45M	436.83M	1.14M	1.67M
	Net Debt
330.37M	342.38M	373.94M	430.04M	-124.05M	-106.53M
	Total Liabilities
475.78M	484.67M	540.90M	541.64M	90.78M	78.94M
	Stockholders Equity
382.07M	373.80M	349.46M	331.19M	329.98M	315.51M
Cash Flow		Free Cash Flow
66.75M	55.51M	77.39M	-4.30M	35.69M	43.16M
	Operating Cash Flow
80.19M	69.83M	98.22M	13.69M	45.44M	51.16M
	Investing Cash Flow
-11.01M	-11.87M	-20.16M	-545.67M	-9.17M	-7.70M
	Financing Cash Flow
-74.41M	-63.14M	-54.53M	414.11M	-18.55M	-16.14M

Gorman-Rupp Company Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 36.74
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GRC, the sentiment is Negative. The current price of 36.74 is below the 20-day moving average (MA) of 37.25, above the 50-day MA of 35.83, and below the 200-day MA of 37.63, indicating a neutral trend. The MACD of 0.16 indicates Positive momentum. The RSI at 48.48 is Neutral, neither overbought nor oversold. The STOCH value of 66.06 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GRC.

Gorman-Rupp Company Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SPXC	78 Outperform	$7.50B	36.70	15.24%	―	10.78%	30.05%
GRC	73 Outperform	$978.68M	22.01	12.06%	2.01%	0.92%	21.96%
FLS	72 Outperform	$6.19B	22.18	14.00%	1.77%	4.23%	20.40%
GNRC	67 Neutral	$7.59B	21.72	14.29%	―	8.07%	58.67%
SXI	66 Neutral	$1.86B	30.50	9.29%	0.83%	2.67%	-18.41%
Sector *	66 Neutral	$4.51B	12.22	5.40%	3.63%	4.14%	-12.01%
HI	50 Neutral	$1.51B	―	-18.22%	4.19%	0.31%	-423.59%

Gorman-Rupp Company Corporate Events

Gorman-Rupp Company Holds Annual Shareholders Meeting

The Gorman-Rupp Company held its annual shareholders meeting on April 24, 2025, where key decisions were made, including the election of nine directors and the approval of executive compensation. Additionally, the shareholders ratified the appointment of Ernst & Young LLP as the company’s independent registered public accountants for the year ending December 31, 2025, indicating continued confidence in the company’s financial oversight.