Mazagon Dock Shipbuilders (NSE: Mazdock) was listed on the NSE and BSE on October 12, 2020. In just five years, its stock has given a massive return of more than 3000% to its investors. Will Mazagon Dock Shipbuilders continue to provide such great returns in the future as well? Let’s explore Mazdock’s future growth potential and the Mazdock share price target 2025 to 2050 in this article.
About Mazagon Dock Shipbuilders
Mazagon Dock Shipbuilders Limited is an Indian government-owned shipbuilding company run by the Ministry of Defence, founded in 1934. It is headquartered in Mumbai and is known for manufacturing warships and submarines for the Indian Navy and commercial ships. The company is contributing significantly to India’s defence sector by delivering advanced ships and submarines.
Mazagon Dock Business Model
- Warship and Submarine Manufacturing: The company earns most of its revenue by building warships, submarines, and other defence ships for the Indian Navy.
- Ship Repairs and Maintenance: Mazagon Dock also makes money by repairing and maintaining naval and commercial ships. This ensures a regular flow of income even after ship deliveries.
- Commercial Shipbuilding: Apart from defence projects, the company builds cargo, offshore, and other commercial ships for private and government companies.
- Export of Ships and Submarine Parts: Mazagon Dock exports some of its ships and submarine parts to other countries, generating additional revenue.
- Technical Consultancy and Training: The company provides consultancy services and technical training to shipbuilding and defence companies.
- Modernisation and Upgrades: MDL also earns money by upgrading and modernising old naval ships and submarines to improve their performance.
Mazagon Dock Fundamental Analysis
| Stock Name | Mazagon Dock Shipbuilders Ltd. |
|---|---|
| NSE Symbol | MAZDOCK |
| Market Cap | ₹ 121579 Cr. |
| 52W High | ₹ 3172 |
| 52W Low | ₹ 1045 |
| Stock P/E | 44.2 |
| Book Value | ₹ 181 |
| Dividend Yield | 0.49 % |
| ROCE | 44.2% |
| ROE | 35.2 % |
| Face Value | ₹ 5.00 |
| Industry PE50.1 | 50.1 |
| Price to book value16.7 | 16.7 |
| Debt to equity0.00 | 0.00 |
| PEG Ratio1.50 | 1.50 |
| Quick ratio0.94 | 0.94 |
| Shareholders | March 2023 | March 2024 | March 2025 |
|---|---|---|---|
| Promoters | 84.83% | 84.83% | 84.83% |
| FIIs | 3.29% | 2.38% | 2.26% |
| DIIs | 0.30% | 0.66% | 1.69% |
| Public | 11.57% | 12.12% | 11.21% |
| No. of Shareholders | 1,64,151 | 3,86,330 | 6,76,957 |
Key Factors Driving Mazagon Dock Future Growth
- Strong Order Book & Growing Defence Budget: Mazagon Dock is a leader in shipbuilding. It has received multiple orders from the Indian Navy for warships and submarines. As India’s defence budget grows, more projects are expected, ensuring consistent revenue.
- Government Support & Make in India Initiative: The Indian government is promoting local defence manufacturing, and Mazagon Dock is a key player in this plan, benefiting from more domestic projects.
- Export Opportunities & Foreign Collaborations: Mazagon Dock is exploring international markets for warship exports while working with foreign defence companies to improve technology and build advanced ships.
- Modernisation & New Technology Adoption: Mazagon Dock is upgrading its shipbuilding facilities with modern techniques and automation to increase efficiency, reduce costs, and speed up production.
Pros of Investing in Mazagon Dock
- Strong Revenue and Profit Growth: Mazagon Dock’s revenue has grown at a CAGR of 33%, and its profit has grown at a CAGR of 47% over the last three years.
- Improved Profit Margins: As of December 2024, Mazagon Dock’s TTM operating profit margin has increased to 22% from 10% in March 2023.
- Almost Debt Free: The company is almost debt free with only ₹1 crore in debt as of March 2024, showcasing a strong balance sheet.
- High ROCE and ROE: As of February 2025, the company’s ROE is 35.2%, and its ROCE is 44.2%, reflecting the efficient use of funds to generate profits.
- Increase in FIIs and DIIs Holding: FIIs increased their holding from 1.45% in September 2024 to 1.55% in December 2024. Also, DIIs increased their holding from 1% in September 2024 to 1.46% in December 2024.
- Low PE Ratio compared to Peers: As of February 2025, MAZDOCK is trading at a PE ratio of around 32, which is low compared to its peer companies like Cochin Shipyard and GRSE.
- Strong Sales Growth: Mazagon Dock sales have grown at 33% CAGR over the last three years.
- Strong Profit Growth: Mazagon Dock profits have grown at 47% CAGR over the last three years.
- High Return on Capital Employed (ROCE): Mazagon Dock 5yrs average ROCE is 28.9% which shows that it is utilizing its capital effectively to generate profits.
- High Return on Equity (ROE): Mazagon Dock 5-year average is 24.0% which shows that the company is using its shareholders funds well to generate profits.
- Low PE Ratio Compared to Peers: Mazagon Dock PE ratio is 44.2, which is lower than the industry average of 50.1, making it relatively undervalued and potentially a good investment opportunity.
- Debt Free Company: Mazagon Dock is almost debt free company with a debt to equity ratio of 0.00, which shows its financial stability.
- High Promoter Holding: Mazagon Dock has a strong promoter holding of 84.8%, which shows the high confidence of promoters in the company’s future growth and stability.
- Increase in Institutional Confidence: DIIs have increased their holding to 1.69% in March 2025 from 1.46% in December 2024, while FIIs have increased their holding to 2.26% in March 2025 from 1.55% in December 2024, indicating a strong institutional confidence in the Mazagon Dock future growth prospects.
Cons of Investing in Mazagon Dock
- Dependence on Government Contracts: Mazagon Dock is heavily dependent on Indian government contracts, making it vulnerable to policy changes and budget allocations.
- Risk of Overvaluation: Mazagon Dock’s stock is trading at 12 times its book value, indicating an overvaluation and potential risk if the market corrects.
- High Contingent Liabilities: The company has contingent liabilities amounting to ₹37,139 crore, which could pose financial risks if they materialise.
- High Price to Book Value: Mazagon Dock is trading at a Price-to-Book Value (P/B) ratio of 16.7, which indicates that its stock is significantly overvalued compared to its book value.
Mazagon Dock Ltd Balance Sheet
| Particulars | March 2023 | March 2024 | Sept 2024 |
|---|---|---|---|
| Equity Capital | 202 | 202 | 202 |
| Reserves | 4,558 | 6,042 | 7,086 |
| Borrowings | 6 | 1 | 36 |
| Other Liabilities | 24,709 | 23,219 | 20,940 |
| Total Liabilities | 29,476 | 29,463 | 28,265 |
| Fixed Assets | 1,024 | 838 | 1,501 |
| CWIP | 62 | 72 | 99 |
| Investments | 589 | 679 | 740 |
| Other Assets | 27,801 | 27,875 | 25,925 |
| Total Assets | 29,476 | 29,463 | 28,265 |
By the end of 2025, the Mazagon Dock share price is expected to be around ₹3950 in normal conditions. In a bear market, it might be ₹3500; in a bull market, it may go up to ₹4600.
| Mazdock Share Price Target 2025 | Rupees (₹) |
|---|---|
| 1st Target | 3500 |
| 2nd Target | 3950 |
| 3rd Target | 4600 |
In 2026, the Mazagon Dock share price is expected to be around ₹4750 in a normal situation. In a bear market, it might be ₹4530, and in a bull market, it may cross ₹6070.
| Mazdock Share Price Target 2026 | Rupees (₹) |
|---|---|
| 1st Target | 4530 |
| 2nd Target | 4750 |
| 3rd Target | 6070 |
According to our analysis, the Mazagon Dock share price is expected to be around ₹5650 in 2027. In a bear market, it might be ₹5430, and in a bull market, it may cross ₹7900.
| Mazdock Share Price Target 2027 | Rupees (₹) |
|---|---|
| 1st Target | 5430 |
| 2nd Target | 5650 |
| 3rd Target | 7900 |
According to our analysis, the Mazagon Dock share price may trade near ₹7500 by 2028; bearish conditions could pull it down to ₹6520, while a strong bull run might lift it to ₹10270.
| Mazdock Share Price Target 2028 | Rupees (₹) |
|---|---|
| 1st Target | 6520 |
| 2nd Target | 7500 |
| 3rd Target | 10270 |
In a normal situation, the Mazagon Dock share price is projected to be approximately ₹9500 in 2029. In a bear market, the value may be as low as ₹7820, while in a bull market, it may rise to ₹13350.
| Mazdock Share Price Target 2029 | Rupees (₹) |
|---|---|
| 1st Target | 7820 |
| 2nd Target | 9500 |
| 3rd Target | 13350 |
In a normal situation, the Mazagon Dock share price is projected to be approximately ₹11500 in 2030. In a bear market, the value may be as low as ₹9000, while in a bull market, it may rise to ₹17350.
| Mazdock Share Price Target 2030 | Rupees (₹) |
|---|---|
| 1st Target | 9000 |
| 2nd Target | 11500 |
| 3rd Target | 17350 |
By 2035, the Mazagon Dock share price is projected to be around ₹22750 under normal conditions. In adverse markets, the price could fall to ₹18750, while favourable conditions might push it up to ₹52000.
| Mazdock Share Price Target 2035 | Rupees (₹) |
|---|---|
| 1st Target | 18750 |
| 2nd Target | 22750 |
| 3rd Target | 52000 |
Under normal conditions, the Mazagon Dock share price might hit ₹45000 by 2040. A bearish trend could lower it to ₹37500, whereas a bullish surge could raise it to ₹155000.
| Mazdock Share Price Target 2040 | Rupees (₹) |
|---|---|
| 1st Target | 37500 |
| 2nd Target | 45000 |
| 3rd Target | 155000 |
In 2050, the Mazagon Dock share price is expected to be around ₹1,70,000 in a normal situation. In a bear market, it might be ₹1,50,000, and in a bull market, it may go up to ₹9,00,000.
| Mazdock Share Price Target 2050 | Rupees (₹) |
|---|---|
| 1st Target | 1,50,000 |
| 2nd Target | 1,70,000 |
| 3rd Target | 9,00,000 |
| Years | Target Price |
|---|---|
| Mazagon Dock Share Price Target 2025 | ₹3500 to ₹4600 |
| Mazagon Dock Share Price Target 2026 | ₹4530 to ₹6070 |
| Mazagon Dock Share Price Target 2027 | ₹5430 to ₹7900 |
| Mazagon Dock Share Price Target 2028 | ₹6520 to ₹10270 |
| Mazagon Dock Share Price Target 2029 | ₹7820 to ₹13350 |
| Mazagon Dock Share Price Target 2030 | ₹9000 to ₹17350 |
| Mazagon Dock Share Price Target 2035 | ₹18750 to ₹52000 |
| Mazagon Dock Share Price Target 2040 | ₹37500 to ₹155000 |
| Mazagon Dock Share Price Target 2050 | ₹1,50,000 to ₹9,00,000 |
Conclusion
Mazagon Dock Shipbuilders has grown a lot in the past five years, giving big returns to its investors. It has strong support from the government, many orders for warships and submarines, and good financial health with high profits and low debt. However, there are some risks, like the high PB ratio, depending too much on government contracts, and high liabilities. While Mazagon Dock has good growth potential, investors should carefully think about both the benefits and risks before investing. For the latest updates, visit the Mazagon Dock Shipbuilders official website.
FAQ’s
By the end of 2025, the share price target for Mazagon Dock Shipbuilders is between a minimum of ₹3500 and a maximum of ₹4600.
Based on various estimates, the Mazagon Dock Shipbuilders (MAZDOCK) share price target for 2030 is expected to be between ₹9000 and ₹17,350.
The Mazagon Dock Shipbuilders (MAZDOCK) estimated share price target for 2040 is between ₹37,500 and ₹1,55,000.
Disclaimer
This article is for educational purposes only. It is not a stock recommendation and should not be treated as such. Please ask your financial advisor before making any investment decision.
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