Garden Reach Shipbuilders & Engineers Ltd. (IN:GRSE)
:GRSE
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Garden Reach Shipbuilders & Engineers Ltd.
(GRSE)
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Rating:67Neutral
Price Target:
₹3,334.00
▲(36.91% Upside)
Action:Downgraded
Date:04/30/26
The score is anchored by strong technical momentum and robust revenue/earnings growth with improving ROE, but it is held back by weak and volatile cash generation and a relatively expensive valuation (high P/E with low yield).
Positive Factors
Strong revenue & earnings growth
Sustained multi-year top-line and net income expansion, plus ROE rising toward 28%, indicates durable demand capture in defence shipbuilding and improving capital efficiency. This strengthens long-term reinvestment capacity and supports continued bid competitiveness on multi-year projects.
Negative Factors
Volatile cash conversion
Inconsistent operating cash flow and negative free cash flow in recent years mean reported profits don't reliably convert to cash. That increases reliance on the balance sheet for milestone funding, raising execution and supplier-payment risk and constraining organic funding for capex or growth.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong revenue & earnings growth
Sustained multi-year top-line and net income expansion, plus ROE rising toward 28%, indicates durable demand capture in defence shipbuilding and improving capital efficiency. This strengthens long-term reinvestment capacity and supports continued bid competitiveness on multi-year projects.
Read all positive factors
Garden Reach Shipbuilders & Engineers Ltd. (GRSE) vs. iShares MSCI India ETF (INDA)
Market Cap
₹303.33B
Dividend Yield0.8%
Average Volume (3M)173.51K
Price to Earnings (P/E)18.6
Beta (1Y)2.64
Revenue Growth37.95%
EPS Growth41.82%
CountryIN
Employees1,573
SectorIndustrials
Sector Strength72
IndustryAerospace & Defense
Share Statistics
EPS (TTM)53.81
Shares Outstanding114,552,000
10 Day Avg. Volume108,904
30 Day Avg. Volume173,512
Financial Highlights & Ratios
PEG Ratio0.72
Price to Book (P/B)8.61
Price to Sales (P/S)3.23
P/FCF Ratio-168.52
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)82.53
Revenue Forecast (FY)₹85.04B
Garden Reach Shipbuilders & Engineers Ltd. Business Overview & Revenue Model
Company Description
Garden Reach Shipbuilders & Engineers Limited engages in the construction of war ships in India. The company offers frigates, anti-submarine warfare corvettes, missile corvettes, landing ship tanks, landing craft utilities, survey vessels, fleet r...
How the Company Makes Money
GRSE primarily makes money by executing shipbuilding contracts, especially for defense customers. The company’s revenue is largely recognized from long-duration construction programs (e.g., warships and patrol vessels) where payments are typically...
Garden Reach Shipbuilders & Engineers Ltd. Financial Statement Overview
Summary
Income Statement
83
Very Positive
Balance Sheet
78
Positive
Cash Flow
38
Negative
| Breakdown | TTM | Mar 2026 | Mar 2025 | Mar 2024 | Mar 2023 | Mar 2022 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 58.96B | 70.02B | 50.71B | 35.88B | 25.48B | 17.45B |
| Gross Profit | 11.49B | 8.98B | 10.51B | 8.11B | 6.17B | 5.46B |
| EBITDA | 8.92B | 7.95B | 7.56B | 5.34B | 3.51B | 2.94B |
| Net Income | 6.16B | 7.48B | 5.27B | 3.57B | 2.28B | 1.90B |
Balance Sheet | ||||||
| Total Assets | 109.84B | 106.36B | 103.54B | 102.52B | 107.76B | 76.32B |
| Cash, Cash Equivalents and Short-Term Investments | 31.57B | 33.88B | 39.37B | 33.81B | 41.42B | 23.30B |
| Total Debt | 319.74M | 373.98M | 96.69M | 656.71M | 3.12B | 112.04M |
| Total Liabilities | 86.88B | 80.10B | 82.75B | 85.78B | 93.62B | 63.74B |
| Stockholders Equity | 22.96B | 26.26B | 20.79B | 16.73B | 14.14B | 12.58B |
Cash Flow | ||||||
| Free Cash Flow | -6.44B | -1.34B | -514.69M | -7.55B | 14.08B | -4.11B |
| Operating Cash Flow | -6.05B | -572.08M | 155.87M | -7.07B | 14.50B | -3.56B |
| Investing Cash Flow | 6.75B | 2.80B | 1.70B | 10.56B | -16.66B | 4.29B |
| Financing Cash Flow | -671.97M | -2.10B | -1.87B | -3.58B | 2.20B | -724.89M |
Garden Reach Shipbuilders & Engineers Ltd. Technical Analysis
Positive
2435.25
Price Trends
2569.04
Positive
2505.33
Positive
2539.30
Positive
Market Momentum
31.57
Positive
46.44
Neutral
11.10
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:GRSE, the sentiment is Positive. The current price of 2435.25 is below the 20-day moving average (MA) of 2854.99, below the 50-day MA of 2569.04, and below the 200-day MA of 2539.30, indicating a neutral trend. The MACD of 31.57 indicates Positive momentum. The RSI at 46.44 is Neutral, neither overbought nor oversold. The STOCH value of 11.10 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:GRSE.
Garden Reach Shipbuilders & Engineers Ltd. Peers Comparison
UnderperformOutperform
Sector (63)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
78 Outperform | ₹2.89T | 25.58 | ― | 0.90% | 6.80% | 8.98% | |
71 Outperform | ₹983.10B | 30.66 | ― | 0.47% | 13.77% | 14.39% | |
67 Neutral | ₹303.33B | 18.63 | ― | 0.80% | 37.95% | 41.82% | |
67 Neutral | ₹3.02T | 46.53 | ― | 0.60% | 16.16% | 13.86% | |
63 Neutral | $10.79B | 15.43 | 7.44% | 2.01% | 2.89% | -14.66% | |
59 Neutral | ₹477.94B | 184.29 | ― | 0.33% | 54.35% | 2.52% | |
55 Neutral | ₹396.44B | 43.80 | ― | 0.59% | 4.19% | -13.39% |
* Industrials Sector Average
IN:GRSE
Garden Reach Shipbuilders & Engineers Ltd.
2,648.00
165.34
6.66%
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Garden Reach Shipbuilders & Engineers Ltd. Corporate Events
GRSE Posts Record Turnover, Hikes Interim Dividend as Naval Deliveries Surge
Mar 31, 2026
Garden Reach Shipbuilders Engineers Ltd. reported its highest-ever provisional annual turnover of ₹6,400 crore for FY 2025–26, up from ₹5,076 crore a year earlier, and declared a sharply higher interim dividend equal to 129% of ...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.