Cochin Shipyard races 5% on stellar Q1 results; stock up 255% YTD

In the last one year, Cochin Shipyard stock has delivered multibagger returns of around 635 percent.

Shares of Cochin Shipyard soared nearly 6 percent on August 9 as investors cheered the company's solid results for the quarter ended June 2024. The company reported a 77 percent jump in net profit at Rs 174.2 crore.

The state-run firm's revenue from operations jumped 62.1 percent YoY to Rs 771.47 crore in the quarter under review.

At the operating level, the PSU's EBITDA or earnings before interest, tax, depreciation, and amortisation surged 125 percent YoY to Rs 177.3 crore and EBITDA margins stood at 23 percent in Q1FY25 against 16.5 percent in the corresponding period in the previous fiscal.

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The cost of materials consumed by Cochin Shipyard almost doubled to Rs 316.6 crore.

Cochin Shipyard is a Miniratna PSU primarily engaged in shipbuilding and ship repair, catering to both the domestic and international markets.

In the June 2024 quarter, Cochin Shipyard's promoter holding remained steady at 72.9 percent. During the same period, foreign institutional investors (FII/FPI) slightly decreased their stake, lowering it from 5.2 percent to 4.9 percent.

Meanwhile, mutual funds increased their holdings, raising their stake from 2.1 percent to 2.2 percent.

At 9:24 am, Cochin Shipyard shares were trading 5.7 percent higher at Rs 2,435.20 on the National Stock Exchange (NSE). So far this year, the stock has zoomed 255 percent, more than tripling investors' money.

In comparison, benchmark Nifty rose around 11 percent during this period. In the last year, the stock has delivered multibagger returns of around 635 percent.

According to a Moneycontrol contributor, the stock is expected to rise and investors can buy the counter above Rs 2,400 with stop loss at Rs 2,300 for a target of Rs 2,700.

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