Cochin Shipyard Limited (COCHINSHIP) AI Stock Analysis

• Market Cap: ₹436.67B
• Dividend Yield: 0.59%
• Average Volume (3M): 164.54K
• Price to Earnings (P/E): 60.0
• Beta (1Y): 2.36
• Revenue Growth: 19.62%
• EPS Growth: -12.34%
• Country: IN
• Employees: 2,133
• Sector: Industrials
• Sector Strength: 72
• Industry: Aerospace & Defense
• EPS (TTM): 5.20
• Shares Outstanding: 263,080,780
• 10 Day Avg. Volume: 85,121
• 30 Day Avg. Volume: 164,545
• PEG Ratio: 7.85
• Price to Book (P/B): 6.57
• Price to Sales (P/S): 7.61
• P/FCF Ratio: -46.23
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 65 Neutral
• Price Target: ₹1,596.00 ▼(-2.09% Downside)

Cochin Shipyard Limited's strong financial performance is offset by negative cash flow concerns and an overvalued stock price. Technical indicators show neutral momentum, suggesting a cautious outlook. The lack of earnings call data and corporate events means these factors do not influence the score.

Positive Factors

Revenue Growth

Sustained revenue growth near 20% demonstrates durable demand for shipbuilding and repair services. Over a 2–6 month horizon, this underpins pricing power and scale benefits, enabling reinvestment in facilities and technology that support long-term competitive positioning.

Low Leverage / Strong Equity Base

Low debt and a strong equity base provide financial flexibility for capital-intensive shipbuilding cycles. This durable balance-sheet strength reduces refinancing risk, supports bidding for large government contracts, and cushions cash needs during cyclical downturns.

Advanced Shipbuilding Capabilities & Defense Links

Technical expertise and established ties with the Navy and Coast Guard create high barriers to entry and long-term contract visibility. These structural advantages secure repeat business and steady demand from defense/government programs over multiple years.

Negative Factors

Negative Operating and Free Cash Flow

Persistently negative operating and free cash flow signal weak cash conversion despite reported earnings. Over months, this constrains capex funding, dividend flexibility and may force external financing, increasing cost of capital and limiting strategic investments.

Declining EPS

A material EPS decline indicates pressure on per-share profitability despite revenue gains. If earnings per share keep falling, it can erode retained earnings and limit balance-sheet strengthening, impairing the firm's ability to self-fund growth initiatives over the medium term.

Conservative Cash Management / Idle Cash

Large cash buffers reduce liquidity risk but may reflect underinvestment in capacity or technology. Over 2–6 months, persistent idle cash can lower returns on assets and miss opportunities to expand shipyard capacity or modernize capabilities amid rising demand.

Cochin Shipyard Limited Business Overview & Revenue Model

Company Description

Cochin Shipyard Limited engages in the shipbuilding and repair of ships/offshore structures in India. Its shipbuilding operations include offering tankers, product carriers, bulk carriers, passenger vessels, high bollard pull tugs, and air defence ships. It also undertakes upgradation of mobile offshore drilling units of Oil and Natural Gas Corporation Ltd; maintenance and repair of aircraft carriers of the Indian Navy; and repair and maintenance of tankers and bulk carriers of Shipping Corporation of India. In addition, the company provides marine engineering training services. Cochin Shipyard Limited was founded in 1969 and is based in Ernakulam, India.

How the Company Makes Money

Cochin Shipyard Limited generates revenue primarily through the construction of new ships and the repair of existing vessels. Key revenue streams include contracts for shipbuilding from government and private entities, as well as income from ship repairs and maintenance services. Additionally, COCHINSHIP benefits from strategic partnerships with defense and maritime organizations, which provide steady demand for its services. The company also engages in technological collaborations and projects related to marine engineering, contributing to its overall earnings. The government of India’s initiatives to promote shipbuilding and maritime activities further enhance COCHINSHIP's revenue potential.

Cochin Shipyard Limited Financial Statement Overview

Summary

Cochin Shipyard Limited demonstrates strong revenue growth and operational efficiency, with a solid equity base and low leverage. However, persistent negative cash flow from operations is a concern that needs attention to ensure sustained growth and financial health.

Income Statement

Cochin Shipyard Limited has demonstrated strong revenue growth, with a significant increase from 2024 to 2025, indicating robust sales expansion. The gross profit margin and EBIT margin are healthy, reflecting effective cost management and operational efficiency. However, the net profit margin showed a slight decline in 2025 compared to 2024, suggesting some pressure on profitability in recent periods.

Balance Sheet

The company maintains a solid equity base with a favorable equity ratio, indicating strong financial stability. The debt-to-equity ratio is low, reflecting prudent leverage management. Return on equity has shown improvement, driven by increased net income. However, the substantial cash reserves relative to total assets suggest conservative cash management, which could be optimized for growth investments.

Cash Flow

There is a concerning trend of negative operating cash flow, which may affect long-term financial flexibility. The free cash flow remains negative, although there was a slight improvement in 2025. The cash flow to net income ratio indicates inefficiencies in translating earnings into cash flow, which could pose a risk if not addressed.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	51.17B	48.20B	38.31B	23.65B	31.91B	28.19B
Gross Profit	19.12B	17.70B	15.03B	7.75B	11.65B	11.99B
EBITDA	10.87B	10.27B	8.91B	3.40B	7.31B	7.83B
Net Income	8.41B	8.27B	7.83B	3.05B	5.64B	6.09B
Balance Sheet
Total Assets	0.00	133.99B	120.42B	100.21B	84.14B	75.19B
Cash, Cash Equivalents and Short-Term Investments	31.13B	4.02B	5.77B	47.92B	32.13B	7.36B
Total Debt	0.00	5.60B	5.02B	5.87B	5.54B	5.40B
Total Liabilities	-55.79B	78.20B	70.39B	55.93B	40.21B	34.86B
Stockholders Equity	55.79B	55.79B	50.03B	44.28B	43.93B	40.33B
Cash Flow
Free Cash Flow	0.00	-7.93B	-8.05B	15.45B	11.34B	3.60B
Operating Cash Flow	0.00	-2.97B	-1.72B	18.89B	13.97B	7.89B
Investing Cash Flow	0.00	5.38B	4.81B	-353.19M	-4.72B	-5.22B
Financing Cash Flow	0.00	-2.77B	-3.71B	-2.76B	-2.39B	-4.05B

Cochin Shipyard Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1630.05
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:COCHINSHIP, the sentiment is Positive. The current price of 1630.05 is above the 20-day moving average (MA) of 1550.36, above the 50-day MA of 1595.44, and below the 200-day MA of 1759.37, indicating a neutral trend. The MACD of -5.77 indicates Negative momentum. The RSI at 63.47 is Neutral, neither overbought nor oversold. The STOCH value of 91.42 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:COCHINSHIP.

Cochin Shipyard Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BEL	77 Outperform	₹3.28T	55.03	―	0.60%	16.58%	25.45%
HAL	71 Outperform	₹3.09T	36.46	―	0.90%	3.05%	-0.57%
MAZDOCK	68 Neutral	₹1.04T	44.47	―	0.47%	12.22%	-9.22%
GRSE	67 Neutral	₹316.82B	45.98	―	0.80%	43.86%	60.18%
COCHINSHIP	65 Neutral	₹436.67B	60.05	―	0.59%	19.62%	-12.34%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
BDL	61 Neutral	₹563.63B	97.19	―	0.33%	82.69%	18.17%

Cochin Shipyard Limited Corporate Events

Cochin Shipyard Confirms All Shares Fully in Demat Form, No New Demat Requests in Q3 FY26

Cochin Shipyard Limited has submitted a confirmation certificate to the stock exchanges in compliance with Regulation 74(5) of the SEBI (Depositories and Participants) Regulations, 2018, provided by its registrar and transfer agent MUFG Intime India Private Limited. The registrar confirmed that no dematerialisation requests were received during the quarter ended 31 December 2025 and that all of the company’s securities are already in dematerialised form, meaning no physical share certificates were issued, mutilated or cancelled, underscoring the company’s alignment with India’s fully demat market framework and reinforcing comfort for shareholders regarding securities handling and regulatory compliance.

Cochin Shipyard to Close Trading Window Ahead of Q3 FY26 Results

Cochin Shipyard Limited has announced that its trading window for dealing in the company’s securities will be closed for all designated persons from 1 January 2026 until 48 hours after the public announcement of its financial results for the quarter ended 31 December 2025, in line with SEBI’s Prohibition of Insider Trading Regulations and the company’s internal insider trading code. The move underscores the company’s adherence to regulatory norms on preventing insider trading, reinforcing governance standards and providing additional assurance to investors and market participants about the integrity of its financial disclosure process.

Cochin Shipyard Faces Fines for SEBI Compliance Issues

Cochin Shipyard Limited has been fined by BSE and NSE for non-compliance with certain SEBI LODR Regulations, specifically regarding the composition of its Board of Directors and committees. The company attributes these non-compliances to factors beyond its control, as the appointment of directors is managed by the Government of India. Cochin Shipyard is actively seeking to rectify these issues by requesting the appointment of independent directors and plans to file for a waiver of the fines imposed.

Cochin Shipyard Releases Q2 2025 Financial Results

Cochin Shipyard Limited has announced the publication of its unaudited standalone and consolidated financial results for the quarter and half-year ending September 30, 2025. This announcement is crucial for stakeholders as it provides insights into the company’s financial health and operational performance during this period.

Cochin Shipyard Addresses Board Compliance Issues Amidst Regulatory Fines

Cochin Shipyard Limited has been fined by BSE and NSE for non-compliance with SEBI LODR Regulations due to the absence of independent directors on its board. The company has addressed the issue by appointing Dr. Seema Suri as an independent director and is awaiting further appointments from the Government of India to fully comply. The company has requested a waiver of fines, and NSE has granted it, while a response from BSE is pending.