Shares of Cochin Shipyard rallied 5.69 per cent to ₹1,556.40 during Tuesday’s trading session after the company announced a major breakthrough in a key defence tender.
In a regulatory filing with the BSE, the state-run shipbuilder said it has been declared the lowest bidder (L1) for a project floated by the Ministry of Defence to construct five Next Generation Survey Vessels (NGSVs) for the Indian Navy. The proposed contract is estimated to be worth around ₹5,000 crore, marking a significant potential order for the company.
The announcement follows a meeting held at the Ministry of Defence in New Delhi. However, Cochin Shipyard clarified that the formal award of the contract is subject to completion of procedural formalities, and further updates will be shared once the process is finalised. The company also confirmed that neither its promoters nor promoter group entities have any stake in the awarding authority, and the deal does not qualify as a related party transaction.
On Monday, the stock had closed 0.24 per cent lower at ₹1,469.40 on the National Stock Exchange of India.
Despite the sharp rally, technical indicators suggest subdued momentum. Trendlyne data shows the stock’s 14-day Relative Strength Index (RSI) at 39.7, indicating weakening strength without entering oversold territory. The stock is also trading below all eight of its simple moving averages (SMAs), signalling a bearish trend in the short to medium term.
For the December 2025 quarter, Cochin Shipyard reported revenue of ₹1,422 crore, up 19 per cent year-on-year. Net profit, however, declined 18.3 per cent to ₹145 crore compared to the same period last year.
In terms of shareholding, foreign portfolio investors (FPIs) reduced their stake from 3.22 per cent to 2.74 per cent during the December quarter, while mutual funds marginally increased their holdings from 2.42 per cent to 2.47 per cent.