Is Cochin Shipyard overvalued or undervalued?

As of January 12, 2024, Cochin Shipyard is considered very expensive and overvalued, with a high PE ratio of 76.08 and other valuation metrics significantly exceeding industry norms, indicating its stock price is inflated compared to peers in the Aerospace & Defense sector.

As of 12 January 2024, Cochin Shipyard's valuation grade has moved from expensive to very expensive. The company is currently overvalued, as indicated by its high PE ratio of 76.08, a Price to Book Value of 11.28, and an EV to EBITDA ratio of 68.79. These ratios significantly exceed industry norms, suggesting that the stock is priced well above its intrinsic value.<BR><BR>In comparison to its peers, Cochin Shipyard's PE ratio is notably higher than that of similar companies in the Aerospace & Defense sector, which typically exhibit lower valuations. For instance, if we consider a peer with a PE ratio of around 30, Cochin Shipyard's valuation appears excessively inflated. Additionally, the company's recent stock performance has outpaced the Sensex, with a year-to-date return of 50.04% compared to the Sensex's 5.60%, which may further contribute to the perception of overvaluation.

Who are the peers of the Cochin Shipyard?

Cochin Shipyard's peers include Hind.Aeronautics, Bharat Electron, Mazagon Dock, and others, with varying management risks and growth rates. Mazagon Dock leads in 1-year returns at 112.16%, while Cochin Shipyard has a return of 1.76%.

Peers: The peers of Cochin Shipyard are Hind.Aeronautics, Bharat Electron, Mazagon Dock, Bharat Dynamics, Garden Reach Sh., Zen Technologies, Data Pattern, Astra Microwave, Mishra Dhatu Nig, and Unimech Aero.<BR><BR>Quality Snapshot: Excellent management risk is observed at Hind.Aeronautics, Bharat Electron, and Mazagon Dock, while Good management risk is found at Bharat Dynamics, Cochin Shipyard, Garden Reach Sh., Zen Technologies, Data Pattern, Astra Microwave, Mishra Dhatu Nig, and Unimech Aero. Growth is Excellent for Hind.Aeronautics, Bharat Electron, Mazagon Dock, Garden Reach Sh., and Zen Technologies, whereas Cochin Shipyard and Bharat Dynamics exhibit Below Average growth, with the rest showing Good growth. Excellent capital structure is noted at Hind.Aeronautics, Bharat Electron, Mazagon Dock, Bharat Dynamics, Cochin Shipyard, Garden Reach Sh., Zen Technologies, and Data Pattern, while Astra Microwave and Mishra Dhatu Nig have Good capital structure, and Unimech Aero also has Excellent capital structure.<BR><BR>Return Snapshot: The peer with the highest 1-year return is Mazagon Dock at 112.16%, while Mishra Dhatu Nig has the lowest at -5.99%. Cochin Shipyard's 1-year return is 1.76%, which is higher than Mishra Dhatu Nig but significantly lower than Mazagon Dock. Additionally, Mishra Dhatu Nig is the only peer with a negative six-month return.

Who are in the management team of Cochin Shipyard?

As of March 2022, the management team of Cochin Shipyard includes Madhu Sankunny Nair (Chairman & Managing Director), Bejoy Bhasker (Director Technical), Jose V J (Director Finance & CFO), and several other directors, both official and independent, overseeing the company's operations and strategy.

As of March 2022, the management team of Cochin Shipyard includes the following individuals:<BR><BR>1. Madhu Sankunny Nair - Chairman & Managing Director<BR>2. Bejoy Bhasker - Director (Technical)<BR>3. Jose V J - Director (Finance) & CFO<BR>4. Syamkamal N - Company Secretary & Compliance Officer<BR>5. Sreejith K Narayanan - Director (Operation)<BR>6. Rajesh Kumar Sinha - Official Director (Part time)<BR>7. Biju Prabhakar - Official Director (Part time)<BR>8. VIKRAM SINGH - Official Director (Part time)<BR><BR>Additionally, there are several Non-Official Independent Directors:<BR>1. Ashok Sharma<BR>2. M Venkatesan<BR>3. Prithviraj Harichandan<BR>4. Abhijit Biswas<BR>5. Amrapali Prashant Salve<BR>6. Nahar Singh Maheshwari<BR><BR>This team is responsible for overseeing the operations and strategic direction of the company.

What does Cochin Shipyard do?

Cochin Shipyard Ltd, a government-owned company established in 1972, specializes in shipbuilding within the Aerospace & Defense industry, reporting net sales of ₹17,576 Cr and a net profit of ₹2,872 Cr for Q1 2025. It has a market cap of ₹50,402 Cr and key metrics include a P/E ratio of 62.00 and a dividend yield of 0.51%.

Overview:<BR>Cochin Shipyard Ltd is a large-cap company operating in the Aerospace & Defense industry, primarily engaged in shipbuilding operations.<BR><BR>History:<BR>Cochin Shipyard Ltd was incorporated in March 1972 as a fully owned Government of India company. It was conferred 'Schedule A', Category-I CPSE status under the Ministry of Shipping in July 2023. The latest reported quarter for net sales and profit is March 2025.<BR><BR>Financial Snapshot:<BR>Net Sales: 17,576 Cr (Quarterly Results - Mar 2025) <BR>Net Profit: 2,872 Cr (Quarterly Results - Mar 2025) <BR>Market Cap: INR 50,402 Cr (Large Cap)<BR><BR>Key Metrics:<BR>P/E: 62.00 <BR>Industry P/E: 55 <BR>Dividend Yield: 0.51% <BR>Debt Equity: -0.46 <BR>Return on Equity: 14.83% <BR>Price to Book: 9.07 <BR><BR>Contact Details:<BR>Address: Administrative Building, Cochin Shipyard Premises Kochi Kerala : 682015 <BR>Tel: 91-484-2501306/2501307 <BR>Email: secretary@cochinshipyard.com <BR>Website: http://www.cochinshipyard.com

Who are the top shareholders of the Cochin Shipyard?

The top shareholders of Cochin Shipyard include The President of India with 67.91%, Life Insurance Corporation of India at 2.92%, individual investors with 19.76%, 21 mutual fund schemes holding 3.42%, and 125 foreign institutional investors with a combined 2.87%.

The top shareholders of Cochin Shipyard include The President of India, who holds the largest stake at 67.91%. Other significant shareholders are Life Insurance Corporation of India, which holds 2.92%, and various individual investors, who collectively own 19.76%. Additionally, there are 21 mutual fund schemes that hold 3.42% of the shares, and 125 foreign institutional investors (FIIs) with a combined holding of 2.87%.

How big is Cochin Shipyard?

As of 24th July, Cochin Shipyard Ltd has a market capitalization of 49,199.00 Cr, with Net Sales of 4,819.96 Cr and a Net Profit of 827.34 Cr for the latest four quarters. The company reported Shareholder's Funds of 5,003.34 Cr and Total Assets of 11,937.97 Cr for the annual period ending in March 2024.

As of 24th July, Cochin Shipyard Ltd has a market capitalization of 49,199.00 Cr, categorizing it as a Large Cap company.<BR><BR>In the latest four quarters, Cochin Shipyard reported Net Sales of 4,819.96 Cr and a Net Profit of 827.34 Cr.<BR><BR>For the latest annual period ending in March 2024, the company had Shareholder's Funds amounting to 5,003.34 Cr and Total Assets of 11,937.97 Cr.

When is the next results date for Cochin Shipyard?

Cochin Shipyard will announce its results on 12 August 2025.

Cochin Shipyard will declare its results on 12 August 2025.

Are Cochin Shipyard latest results good or bad?

Cochin Shipyard's latest results are generally positive, with net sales growing 38.51% and profit before tax increasing by 28.59%. However, slowing growth rates and a slight decline in operating profit margins indicate potential challenges ahead.

Cochin Shipyard's latest financial results for the quarter ending June 2025 indicate a generally positive performance, although there are some areas of concern. The company reported net sales of Rs 1,068.59 crore, achieving a year-on-year growth of 38.51%. This substantial increase suggests strong demand for its products and services.<BR><BR>Profit Before Tax (PBT), excluding other income, also showed a positive trend, reaching Rs 195.21 crore, which is a 28.59% increase compared to the previous year. This indicates effective operational strategies that have contributed to profitability.<BR><BR>However, it's worth noting that while the sales and PBT figures are strong, the growth rates have decreased compared to the previous year. For instance, net profit growth has slowed to 7.80% from 76.62% in the same quarter last year. Additionally, the operating profit margin has slightly declined, indicating some challenges in maintaining profitability levels.<BR><BR>On a positive note, the Debtors Turnover Ratio has improved significantly, reaching 21.05 times, which reflects better cash flow management and efficiency in settling debts.<BR><BR>Overall, while Cochin Shipyard's results are good in terms of absolute figures and indicate growth, the slowing growth rates and margin decline suggest that the company may face challenges ahead.

How has been the historical performance of Cochin Shipyard?

Cochin Shipyard has shown significant growth in net sales and profits from March 2023 to March 2025, with net sales rising from 2,364.55 crore to 4,819.96 crore and profit after tax increasing from 304.71 crore to 827.33 crore. However, cash flow from operating activities turned negative, highlighting a need for improved cash management despite strong revenue growth.

Answer:<BR>The historical performance of Cochin Shipyard shows a significant upward trend in net sales and profit over the years, particularly from March 2023 to March 2025.<BR><BR>Breakdown:<BR>Cochin Shipyard's net sales increased from 2,364.55 crore in March 2023 to 4,819.96 crore in March 2025, reflecting a strong growth trajectory. Total operating income followed a similar pattern, rising from 2,364.55 crore to 4,819.96 crore during the same period. The company's operating profit (PBDIT) also saw a substantial increase, from 460.48 crore in March 2023 to 1,266.93 crore in March 2025, indicating improved operational efficiency. Profit before tax rose from 418.44 crore to 1,125.17 crore, while profit after tax increased from 304.71 crore to 827.33 crore, showcasing a robust bottom line. On the balance sheet, total assets grew from 9,916.42 crore in March 2023 to 13,289.58 crore in March 2025, with total liabilities increasing correspondingly from 9,916.42 crore to 13,289.58 crore. Cash flow from operating activities, however, turned negative, dropping from 1,889.00 crore in March 2023 to -296.00 crore in March 2025, indicating challenges in cash generation despite the growth in profits. Overall, Cochin Shipyard has demonstrated strong revenue and profit growth, although cash flow management appears to be an area needing attention.

Has Cochin Shipyard declared dividend?

Cochin Shipyard Ltd has declared an 80% dividend, amounting to ₹3.5 per share, with an ex-date of February 12, 2025. The company has demonstrated strong financial performance, achieving total returns of up to 957.38% over the past five years.

Cochin Shipyard Ltd has declared an 80% dividend.<BR><BR>Dividend Details:<BR>- Percentage announced: 80%<BR>- Amount per share: 3.5<BR>- Ex-date: Feb-12-2025<BR><BR>Dividend Yield: 0.44%<BR><BR>Total Returns by Period:<BR>In the last 3 months, the price return was 2.08%, the dividend return was 0.23%, resulting in a total return of 2.31%.<BR><BR>Over the past 6 months, the price return was 1.55%, the dividend return was 0.20%, leading to a total return of 1.75%.<BR><BR>In the 1-year period, the price return reached 31.58%, with a dividend return of 0.55%, culminating in a total return of 32.13%.<BR><BR>For the 2-year period, the price return was 227.6%, the dividend return was 3.05%, resulting in a total return of 230.65%.<BR><BR>In the last 3 years, the price return was 415.48%, with a dividend return of 10.56%, leading to a total return of 426.04%.<BR><BR>Over the past 4 years, the price return was 828.79%, the dividend return was 30.66%, resulting in a total return of 859.45%.<BR><BR>In the 5-year period, the price return was 915.42%, with a dividend return of 41.96%, culminating in a total return of 957.38%.<BR><BR>Overall, Cochin Shipyard has declared a significant dividend and has shown impressive total returns across various periods, indicating strong financial performance and shareholder value enhancement.

Should I buy, sell or hold Cochin Shipyard?

Is Cochin Shipyard technically bullish or bearish?

As of December 2, 2025, Cochin Shipyard's trend is mildly bearish, supported by weekly MACD and Bollinger Bands, despite daily moving averages showing mild bullishness, with overall bearish sentiment influenced by recent price declines and negative returns compared to the Sensex.

As of 2 December 2025, the technical trend for Cochin Shipyard has changed from sideways to mildly bearish. The current stance is mildly bearish, driven primarily by the weekly MACD and Bollinger Bands indicating bearish signals. The Dow Theory also supports a mildly bearish outlook on both weekly and monthly time frames. Although the daily moving averages show a mildly bullish trend, this is overshadowed by the overall bearish indicators in the weekly and monthly analyses. The RSI shows no signal, indicating a lack of momentum in either direction. Overall, the strength of the bearish sentiment is moderate, influenced by the recent price decline from the previous close and the negative returns over the past month compared to the Sensex.

Which are the latest news on Cochin Shipyard?

Why is Cochin Shipyard falling/rising?

As of 03-Dec, Cochin Shipyard Ltd's stock price is at 1,621.80, down 1.15%, reflecting a bearish trend with significant declines in both recent performance and financial results. The stock has underperformed compared to the benchmark Sensex, and negative sentiment persists due to high valuation and lack of long-term growth.

As of 03-Dec, Cochin Shipyard Ltd's stock price is falling, currently at 1,621.80, reflecting a decrease of 18.85 points or 1.15%. The stock has been on a downward trend, having lost 2.69% over the last two days. This decline is further evidenced by the stock trading below its 5-day, 20-day, 50-day, 100-day, and 200-day moving averages, indicating a bearish momentum.<BR><BR>In the past week, the stock has underperformed, with a decline of 3.33%, while the benchmark Sensex has only fallen by 0.59%. Over the past month, Cochin Shipyard's stock has decreased by 9.22%, contrasting sharply with the Sensex's increase of 1.34%. Additionally, the company reported negative financial results, including a 2.15% fall in net sales and a significant drop in profit before tax (PBT) and profit after tax (PAT) for the most recent quarter. The PBT fell by 86.07%, and PAT decreased by 43.1%, which has contributed to a negative sentiment around the stock.<BR><BR>Despite a low debt-to-equity ratio and rising investor participation indicated by a 6.71% increase in delivery volume, the overall outlook remains poor due to the company's lack of long-term growth, with operating profit growing at only 9.01% annually over the last five years. The stock's valuation is considered expensive, trading at a premium compared to its peers, which further discourages investment. Thus, the combination of negative financial results, poor recent performance, and high valuation contributes to the ongoing decline in Cochin Shipyard's stock price.