Garden Reach Shipbuilders & Engineers Ltd. (GRSE) AI Stock Analysis

• Market Cap: ₹287.43B
• Dividend Yield: 0.41%
• Average Volume (3M): 113.87K
• Price to Earnings (P/E): 51.3
• Beta (1Y): 2.69
• Revenue Growth: 39.76%
• EPS Growth: 52.36%
• Country: IN
• Employees: 1,573
• Sector: Industrials
• Sector Strength: 84
• Industry: Aerospace & Defense
• EPS (TTM): 10.50
• Shares Outstanding: 114,552,000
• 10 Day Avg. Volume: 98,521
• 30 Day Avg. Volume: 113,871
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: ₹2,771.00
• Price Target Upside: 5.00% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 60 Neutral
• Price Target: ₹2,771.00 ▲(5.00% Upside)

The overall stock score is primarily influenced by strong financial performance, with robust revenue and profit growth. However, the stock's technical indicators suggest mixed momentum, and the high P/E ratio indicates potential overvaluation. The lack of earnings call data and notable corporate events means these factors did not influence the score.

Garden Reach Shipbuilders & Engineers Ltd. Business Overview & Revenue Model

Company Description

Garden Reach Shipbuilders & Engineers Ltd. (GRSE) is a premier shipbuilding company in India, primarily engaged in the design and construction of warships and other vessels for the Indian Navy and Indian Coast Guard. The company operates in the defense sector, providing a wide range of maritime products including frigates, corvettes, and patrol vessels. GRSE also offers engineering services and builds commercial vessels, ensuring a comprehensive portfolio in the shipbuilding industry.

How the Company Makes Money

GRSE generates revenue through the construction and sale of naval and commercial vessels. The primary revenue stream comes from contracts with the Indian government, particularly the Ministry of Defense, for building warships and support vessels. GRSE also engages in export activities, selling ships and related services to foreign governments. Additionally, the company earns income from engineering services, including ship repair and maintenance. Strategic partnerships with global defense and engineering firms enhance GRSE's capabilities and contribute to its revenue by expanding its client base and technological expertise.

Garden Reach Shipbuilders & Engineers Ltd. Financial Statement Overview

Summary

Garden Reach Shipbuilders & Engineers Ltd. demonstrates strong financial health with robust revenue and profit growth, supported by efficient cost management and operational efficiency. The balance sheet reflects a strong equity position with manageable debt levels, though cash flow management needs improvement to ensure sustained financial stability.

Income Statement

Garden Reach Shipbuilders & Engineers Ltd. shows strong financial performance with a significant increase in revenue and profitability. The Gross Profit Margin has improved, indicating efficient cost management. The EBIT and EBITDA margins also reflect operational efficiency. The company displays a consistent revenue growth trajectory, with a notable increase in Net Profit Margin, suggesting effective cost controls and pricing strategies.

Balance Sheet

The company's balance sheet indicates a solid equity base, with a moderate Debt-to-Equity Ratio demonstrating low leverage. The Return on Equity is strong, reflecting high profitability relative to shareholder equity. The Equity Ratio suggests a stable financial structure. However, the relatively high total liabilities could pose a risk if not managed prudently.

Cash Flow

Cash flow analysis reveals a mixed picture with fluctuations in Free Cash Flow and Operating Cash Flow. While there has been a recovery from negative cash flows in prior years, indicating improved cash management, consistent positive cash flows are essential for sustainability. The Operating Cash Flow to Net Income Ratio and Free Cash Flow to Net Income Ratio suggest that cash generation may need to align more closely with reported profits.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	38.46B	50.76B	35.93B	25.61B	17.45B	11.33B
Gross Profit	6.60B	10.57B	6.84B	6.30B	5.46B	5.20B
EBITDA	5.47B	7.56B	5.35B	3.51B	2.95B	2.39B
Net Income	3.68B	5.27B	3.57B	2.28B	1.90B	1.53B
Balance Sheet
Total Assets	0.00	103.54B	102.52B	107.76B	76.32B	67.83B
Cash, Cash Equivalents and Short-Term Investments	37.20B	39.37B	33.81B	41.42B	23.30B	28.08B
Total Debt	0.00	96.69M	656.71M	3.12B	112.04M	36.93M
Total Liabilities	-16.73B	82.75B	85.78B	93.62B	63.74B	56.46B
Stockholders Equity	16.73B	20.79B	16.73B	14.14B	12.58B	11.37B
Cash Flow
Free Cash Flow	415.79M	-514.69M	-7.55B	14.08B	-4.11B	3.51B
Operating Cash Flow	415.79M	155.87M	-7.07B	14.50B	-3.56B	5.15B
Investing Cash Flow	0.00	1.70B	10.56B	-16.66B	4.29B	-11.73B
Financing Cash Flow	0.00	-1.87B	-3.58B	2.20B	-724.89M	-624.48M

Garden Reach Shipbuilders & Engineers Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2639.10
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:GRSE, the sentiment is Negative. The current price of 2639.1 is above the 20-day moving average (MA) of 2583.34, below the 50-day MA of 2870.97, and above the 200-day MA of 1976.29, indicating a neutral trend. The MACD of -72.21 indicates Negative momentum. The RSI at 38.99 is Neutral, neither overbought nor oversold. The STOCH value of 29.75 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:GRSE.

Garden Reach Shipbuilders & Engineers Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HAL	71 Outperform	₹2.95T	35.45		0.84%	2.07%	0.81%
BEL	67 Neutral	₹2.78T	50.53		0.62%	14.23%	29.82%
Sector *	66 Neutral	£2.67B	13.00	3.30%	3.25%	2.35%	-22.12%
COCHINSHIP	61 Neutral	₹438.79B	52.17		0.58%	25.85%	5.62%
MAZDOCK	61 Neutral	₹1.09T	50.04		0.75%	21.24%	-6.44%
GRSE	60 Neutral	₹287.43B	51.29		0.41%	39.76%	52.36%
BDL	53 Neutral	₹544.66B	97.13		0.30%	50.34%	-3.01%

Garden Reach Shipbuilders & Engineers Ltd. Corporate Events

GRSE Announces Senior Management Promotions

GRSE has announced key changes in its senior management, effective July 1, 2025. Mr. Sujoy Chakravorty has been promoted to Chief General Manager, while Mr. Prashanta Kumar Mondal and Mr. Kingshuk Mistry have been elevated to General Managers. These promotions reflect the company’s focus on leveraging internal talent and leadership to strengthen its operational capabilities and maintain its competitive edge in the shipbuilding industry.