GRSE Dividend Payout Fuels 4% Pre-Ex-Date Rally in Defence Shipyard Stock

Garden Reach Shipbuilders & Engineers shares surged 4.29% to ₹2,580 Tuesday, ahead of the ex-dividend date, rewarding shareholders with a ₹5.75 interim payout amid a bulging warship order ledger.

The defence PSU's stock oscillated between ₹2,570 and ₹2,748, volumes at 1.2 million shares, as the record date hit today. Dividend yield now tops 2.5%, following September's ₹4.90 final payout—total FY26 at ₹10.65 per share.

GRSE declared the interim on November 4, payable by month-end, marking its third in 12 months. Fiscal 2025 revenues hit ₹3,500 crore, up 25%, with EBITDA at ₹600 crore on Next Generation Corvettes for the Navy.

Order book swells to ₹25,000 crore, 70% from warships, including ASW vessels export-bound to Mauritius. Market cap crossed ₹7,000 crore, P/E at 45 times on 30% profit growth.

Analysts like HDFC Securities target ₹3,000, citing indigenization under Atmanirbhar Bharat. Risks: Supply chain delays in steel. Post-ex, focus shifts to Q3 execution.