GRSE shares jumped 20%; will momentum continue in this defence PSU?

Shares of Garden Reach Shipbuilders & Engineers Ltd (GRSE) surged 19.75 per cent on Wednesday to settle at Rs 2,360. The rise comes as the company reported its highest-ever annual turnover for financial year 2025–26 (FY26).

The state-run shipbuilder informed exchanges that it recorded a provisional and unaudited turnover of Rs 6,400 crore for FY26, compared with Rs 5,076 crore in FY25, reflecting robust execution momentum in naval shipbuilding programmes.

"The shipyard has also declared an interim dividend @ 129 per cent of paid-up share capital against 89.5 per cent in FY 2024–25. FY 2025–26 saw key milestones in naval shipbuilding, with the commissioning of five vessels during the year, including INS Himgiri, the first Project 17A Advanced Frigate, INS Ikshak, the third Survey Vessel (Large) and the first three Anti-Submarine Warfare Shallow Water Crafts (ASW-SWC)—INS Arnala, INS Androth and INS Anjadip," it added.

"GRSE delivered a total of eight vessels to the Indian Navy during FY 2025–26, comprising two Project 17A (P17A) frigates, two Survey Vessel Large (SVL) ships and four Anti-Submarine Warfare Shallow Water Crafts (ASW-SWC). Notably, these delivery milestones include the simultaneous delivery of three warships—Dunagiri, Sanshodhak and Agray—to the Indian Navy on the same day. GRSE is also in the advanced stages of concluding a prestigious contract for the construction of five Next Generation Corvettes," GRSE further stated.

From a technical standpoint, near-term support on the counter could be seen in the Rs 2,200–2,150 range, followed by Rs 2,052–2,000 levels. Immediate resistance is placed around Rs 2,500.

Osho Krishan, Senior Analyst – Technical & Derivative Research at Angel One, stated, "GRSE has exhibited a notable surge in both price and trading volume, indicating a potential revival from oversold conditions and a re-establishment of bullish momentum. The stock has tested its 50-DEMA, while the Rs 2,500 zone continues to act as significant resistance. A decisive breakout above this threshold could attract fresh buying interest. On the downside, support is seen at Rs 2,200-2,150, with a strong base around Rs 2,000 mark."

According to AR Ramachandran, a Sebi-registered research analyst at Tips2trades, "GRSE stock price is bullish on daily charts with strong support at Rs 2,052. A daily close above resistance of Rs 2,371 could lead to an upside target of Rs 2,708 in the near term."

Kiran Jani, Head of Technical Research at Jainam Broking, said that if the stock stays above Rs 2,200 level, then it could be considered as a good add to your portfolio for expected targets of Rs 2,600-2,700 in the near term.

GRSE, under the administrative control of the Ministry of Defence, is a key warship-building company for the Indian Navy. As of December 2025, the government held a 74.50 per cent stake in the firm.