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

• Market Cap: ₹269.36B
• Dividend Yield: 0.83%
• Average Volume (3M): 173.51K
• Price to Earnings (P/E): 43.7
• Beta (1Y): 3.00
• Revenue Growth: 43.86%
• EPS Growth: 60.18%
• Country: IN
• Employees: 1,573
• Sector: Industrials
• Sector Strength: 72
• Industry: Aerospace & Defense
• EPS (TTM): 13.40
• Shares Outstanding: 114,552,000
• 10 Day Avg. Volume: 108,904
• 30 Day Avg. Volume: 173,512
• PEG Ratio: 0.77
• Price to Book (P/B): 9.32
• Price to Sales (P/S): 3.82
• P/FCF Ratio: -376.41
• 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: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 67 Neutral
• Price Target: ₹3,143.00 ▲(33.66% Upside)

Garden Reach Shipbuilders & Engineers Ltd. scores well due to its strong financial performance, particularly in revenue and profit growth, and efficient cost management. However, technical indicators suggest the stock may be overbought, and the high P/E ratio raises concerns about valuation. The absence of earnings call data and corporate events limits additional insights.

Positive Factors

Revenue Growth

Strong revenue growth indicates robust demand for GRSE's shipbuilding services, enhancing its market position and financial stability.

Profitability

Improved profitability through efficient cost management and operational efficiency supports long-term financial health and competitiveness.

Balance Sheet Health

A strong balance sheet with low leverage enhances GRSE's financial resilience and ability to invest in growth opportunities.

Negative Factors

Cash Flow Management

Inconsistent cash flows could limit GRSE's ability to fund operations and growth, necessitating improved cash management practices.

Total Liabilities

High liabilities, if not managed prudently, could pose financial risks, impacting GRSE's long-term stability and operational flexibility.

Cash Generation Alignment

Misalignment between cash generation and profits could indicate inefficiencies, affecting GRSE's ability to sustain operations and growth.

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

Company Description

Garden Reach Shipbuilders & Engineers Ltd. (GRSE) is a state-owned shipbuilding company located in Kolkata, India. Established in 1884, GRSE specializes in the construction of warships and various types of vessels, including patrol vessels, amphibious ships, and cargo vessels. The company operates primarily in the defense and maritime sectors, providing shipbuilding, engineering, and repair services. With a focus on innovation and quality, GRSE has played a significant role in enhancing India's maritime capabilities.

How the Company Makes Money

GRSE generates revenue primarily through the construction and repair of naval and commercial vessels. The company receives contracts from the Indian Navy and other defense organizations, which constitute a significant portion of its income. Additionally, GRSE engages in the manufacturing of various marine equipment and components, which provides another revenue stream. The company also benefits from government initiatives aimed at boosting indigenous shipbuilding capabilities, resulting in partnerships and collaborations with other defense and maritime firms. Furthermore, GRSE explores opportunities in export markets, contributing to its earnings through international contracts.

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. However, the company's cash flow management shows room for 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	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	53.76B	50.76B	35.93B	25.61B	17.54B	11.41B
Gross Profit	11.85B	10.57B	6.84B	1.95B	5.46B	1.38B
EBITDA	8.10B	7.56B	5.35B	3.51B	2.95B	2.39B
Net Income	5.60B	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	37.32B	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	-20.79B	82.75B	85.78B	93.62B	63.74B	56.46B
Stockholders Equity	20.79B	20.79B	16.73B	14.14B	12.58B	11.37B
Cash Flow
Free Cash Flow	0.00	-514.69M	-7.55B	14.08B	-4.11B	3.51B
Operating Cash Flow	0.00	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: 2351.45
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

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 2351.45 is below the 20-day moving average (MA) of 2647.21, below the 50-day MA of 2644.83, and below the 200-day MA of 2406.56, indicating a bearish trend. The MACD of -84.25 indicates Positive momentum. The RSI at 32.42 is Neutral, neither overbought nor oversold. The STOCH value of 16.49 is Positive, 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
BEL	76 Outperform	₹3.03T	53.27	―	0.62%	16.58%	25.45%
HAL	71 Outperform	₹3.13T	37.69	―	0.93%	3.05%	-0.57%
MAZDOCK	68 Neutral	₹1.08T	46.37	―	0.48%	12.22%	-9.22%
GRSE	67 Neutral	₹269.36B	43.70	―	0.83%	43.86%	60.18%
COCHINSHIP	65 Neutral	₹465.44B	55.35	―	0.61%	19.62%	-12.34%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
BDL	61 Neutral	₹543.30B	96.88	―	0.33%	82.69%	18.17%

Garden Reach Shipbuilders & Engineers Ltd. Corporate Events

GRSE Promotes Aparajita Ghosh to Chief General Manager (Finance)

Garden Reach Shipbuilders & Engineers Ltd. has announced the promotion of Smt. Aparajita Ghosh from General Manager (Finance) to Chief General Manager (Finance), effective November 18, 2025. This change in senior management highlights the company’s commitment to leveraging experienced leadership for strategic decision-making and organizational growth, potentially impacting its financial operations and stakeholder relations positively.

Garden Reach Shipbuilders Ensures Regulatory Compliance with SEBI Certificate Submission

Garden Reach Shipbuilders & Engineers Ltd. submitted a compliance certificate under Regulation 74(5) of the SEBI (Depositories and Participants) Regulations, 2018, for the period from July 1, 2025, to September 30, 2025. This submission, received from their Registrar and Share Transfer Agent, M/s. Alankit Assignments Limited, ensures adherence to regulatory requirements, reflecting the company’s commitment to maintaining transparency and regulatory compliance, which is crucial for its operations and stakeholder trust.