Mazagon Dock shares up 32% in April; should you buy?

Mazagon Dock share price: State-owned defence stock Mazagon Dock Shipbuilders Ltd had been on a rally for the past month, rising over 30% in April alone. Following recent fourth-quarter numbers, HDFC Securities maintained an 'Add' rating on the stock.

The counter has jumped about 32% in a month. In the previous session on Thursday, the counter declined 1.38% to settle at Rs 2,733.25 apiece on the BSE, against its previous close of Rs 2,771.50. 

Q4 performance

The shipbuilder reported a positive bottom line numbers. According to the company's exchange filing dated April 30, the consolidated net profit for the quarter ended March 31, 2026, more than doubled to Rs 679.18 crore, a sharp jump compared to the Rs 325.29 crore reported in the corresponding quarter last year.  

Revenue from operations for the quarter stood at Rs 3,850.39 crore. Also, the Mazagon Dock board has recommended a final dividend of Rs 4.62 per equity share of Rs 5 each face value for the FY26.

Mazagon Dock share price target

HDFC Securities has maintained an ‘Add’ rating on the stock and raised its target price to Rs 3,000, up from the earlier Rs 2,950.  The brokerage note highlighted the company's strong FY26 performance, reflected in 13.8% revenue growth in FY26 over FY25. 

“We expect MDL to continue this robust performance over the next few years due to its robust order pipeline consisting of submarines, frigates, and destroyers,” the brokerage said.

It expects the order value for six next-generation submarines to touch a massive Rs 99,000 crore, an increase from their earlier estimate of Rs 77,000 crore. The brokerage expects revenue from these new platforms to start kicking in from FY28.  

Additionally, Mazagon Dock has acquired a 51% controlling stake in Colombo Dockyard PLC. According to HDFC Securities, this “will help the company build an MRO orderbook diversifying its revenue streams and reducing revenue cyclicality.”