250% dividend! Infra stock to ex-date today, fell 48% from 52-week high; check targets & details

GR Infraprojects shares dividend: Shares of infrastructure company GR Infraprojects shall trade ex-dividend today. Once a multibagger counter, the company had announced an interim dividend for their eligible shareholders of the company earlier this month and communicated about the same through an exchange filing.

In its meeting held on March 7, 2025 (Friday), the company board of G R Infraprojects Ltd considered and declared an interim dividend of Rs 12.50 per equity share (250 per cent) having face value of Rs 5 each, said the company in its exchange filing. The company fixed Thursday, March 13, 2025 as the record date for the payment of dividend to the shareholders.

Shares of GR Infraprojects settled at Rs 989 on Wednesday, falling about 1.15 per cent for the day. The total market capitalization of the company stood above Rs 9,500 crore mark. The stock is down nearly 48 per cent from its 52-week low at Rs 1,860 hit in June 2024, while it has crashed more than 50 per cent from it's all time high near Rs 2,000 hit on October 2021.

Shares of GR Infra were listed at the bourses in October 2021, when the company raised a total of Rs 963.28 crore via its primary stake sale, selling its shares of Rs 837 apiece. The stock is trading 18 per cent higher above the IPO. Ahmedabad-based GR Infra is an integrated road EPC player with experience in designing and construction activities and road/highway projects.

GR Infraprojects reported a 7.8 per cent year-on-year (YoY) increase in net profit at Rs 261.7 crore for the third quarter that ended December 31, 2024. The company's revenue from operations fell 20.6 per cent YoY to Rs 1,694.5 crore in the reported quarter.

The infra player's Ebitda tanked 27.1 per cent YoY to Rs 369.8 crore in the third quarter of this fiscal, while Ebitda margin dropped 200 bps to 21.8 per cent in the reporting quarter. As of December 31, 2024, GR Infraprojects has a total of seven operational projects.

GR Infra expects a 10-12 per cent revenue degrowth in FY25. But, it aims for double-digit growth of 9-12 per cent in FY26, driven by a large executable order book and new order intake. It indicated expectations of higher Ebitda margins in the range of 10-12 per cent, supported by increased order inflow as current capacities remain underutilised, said Axis Securities.

In 9MFY25, NHAI’s awarding activity remained relatively low, impacting the infrastructure sector's momentum. However, a pickup in awarding activity is expected on March 25, and the outlook for FY26 appears promising, with a significant increase in Project awards. It anticipates strong order intake, supported by a robust bidding pipeline across multiple sectors, it added with a 'buy' rating and a target price of Rs 1,430.

"Given a weaker-than-expected execution in 9MFY25 and lower-than anticipated Ebitda margin guidance by the management, we cut our Ebitda estimates for FY25, FY26, and FY27 by 6 per cent, 19 per cent, and 13 per cent, respectively. Consequently, our EPS estimates have been revised down by 4 per cent, 12 per cent, and 8 per cent, respectively," said Motilal Oswal Financial Services.

However, due to the current order book and robust tender pipeline, it expects GR Infra to clock a 9 per cent revenue CAGR over FY24-27, with an EBITDA margin in the range of 12-14 per cent. Motilal Oswal reiterated 'buy' rating on the stock with a revised target price of Rs 1,410.

JM Financial has also suggested to 'buy' GR Infraprojects with a target price of Rs 1,790. On the other hand, Kotak Institutional Equities has a 'sell' rating on the stock. However, its target price of Rs 1,090 is higher than its current market price.