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Gorman-Rupp Company (GRC)
NYSE:GRC
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Gorman-Rupp Company (GRC) AI Stock Analysis

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GRC

Gorman-Rupp Company

(NYSE:GRC)

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Outperform 71 (OpenAI - Gpt-5.6Sol)
Rating:71Outperform
Price Target:
$82.00
â–²(6.83% Upside)
Action:Upgraded
Date:10/24/26
The score is driven primarily by strong financial performance—meaningful margin expansion, solid and improving free cash flow, and a materially de-risked balance sheet. Offsetting this, technical signals are neutral-to-soft (negative MACD and below key moving averages) and valuation is only fair given the 26.44 P/E with a modest ~1.03% dividend yield.
Positive Factors
Profitability Expansion
Revenue has expanded substantially from $378M in 2021 to $722M TTM, while gross and net margins have strengthened materially. This combination indicates improved earnings quality and operating leverage, giving the company a stronger base for reinvestment and sustained profitability.
Negative Factors
Modest Recent Revenue Growth
Recent top-line growth is modest relative to the company’s longer-term revenue expansion, indicating that current performance is relying more heavily on margin improvement than volume growth. If demand remains subdued, future earnings expansion may be harder to sustain without further efficiency gains.
Read all positive and negative factors
Positive Factors
Negative Factors
Profitability Expansion
Revenue has expanded substantially from $378M in 2021 to $722M TTM, while gross and net margins have strengthened materially. This combination indicates improved earnings quality and operating leverage, giving the company a stronger base for reinvestment and sustained profitability.
Read all positive factors

Gorman-Rupp Company (GRC) vs. SPDR S&P 500 ETF (SPY)

Gorman-Rupp Company Business Overview & Revenue Model

Company Description
The Gorman-Rupp Company specializes in the design, production, and distribution of a broad spectrum of pumps and associated systems, serving markets both within the United States and globally. Their comprehensive portfolio encompasses a wide array...
How the Company Makes Money
Gorman-Rupp primarily makes money by selling pumps and pumping systems to customers in municipal and industrial markets. Revenue is generated mainly from (1) product sales of pumps and engineered pumping packages (including packaged lift stations ...

Gorman-Rupp Company Financial Statement Overview

Summary
Overall fundamentals are strong: profitability and margins have expanded materially (TTM net margin ~10.2% and gross margin ~32.1%), free cash flow is robust and improving (TTM FCF $133M, ~22.6% growth), and leverage appears significantly reduced with TTM indicating a very conservative balance sheet. Key risks are modest recent revenue growth (TTM ~2.9%) and the unusually sharp shift in debt (2025 to TTM) that warrants confirmation.
Income Statement
82
Very Positive
Balance Sheet
78
Positive
Cash Flow
85
Very Positive
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue722.48M682.39M659.67M659.51M521.03M378.32M
Gross Profit231.75M209.15M204.33M196.25M130.94M95.90M
EBITDA135.97M120.27M112.01M113.73M54.27M49.16M
Net Income73.73M53.02M40.12M34.95M11.20M29.85M
Balance Sheet
Total Assets878.74M860.05M858.47M890.36M872.83M420.75M
Cash, Cash Equivalents and Short-Term Investments59.30M35.08M24.21M30.52M6.78M125.19M
Total Debt0.00327.53M387.07M425.28M439.01M1.52M
Total Liabilities417.61M445.33M484.67M540.90M541.64M90.78M
Stockholders Equity878.74M414.72M373.80M349.46M331.19M329.98M
Cash Flow
Free Cash Flow132.93M88.85M55.51M77.39M-4.30M35.69M
Operating Cash Flow129.91M106.23M69.83M98.22M13.69M45.44M
Investing Cash Flow-17.22M-15.34M-11.87M-20.16M-545.67M-9.17M
Financing Cash Flow-95.81M-80.86M-63.14M-54.53M414.11M-18.55M

Gorman-Rupp Company Technical Analysis

Technical Analysis Sentiment
Positive
Last Price76.76
Price Trends
50DMA
74.92
Negative
100DMA
78.66
Negative
200DMA
71.74
Positive
Market Momentum
MACD
-0.82
Positive
RSI
49.59
Neutral
STOCH
58.81
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GRC, the sentiment is Positive. The current price of 76.76 is above the 20-day moving average (MA) of 74.05, above the 50-day MA of 74.92, and above the 200-day MA of 71.74, indicating a neutral trend. The MACD of -0.82 indicates Positive momentum. The RSI at 49.59 is Neutral, neither overbought nor oversold. The STOCH value of 58.81 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GRC.

Gorman-Rupp Company Risk Analysis

Gorman-Rupp Company disclosed 20 risk factors in its most recent earnings report. Gorman-Rupp Company reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Gorman-Rupp Company Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
73
Outperform
$4.35B28.1011.59%1.12%7.38%-10.43%
72
Outperform
$8.67B23.6816.63%1.28%-0.26%29.38%
71
Outperform
$1.95B26.4413.65%1.03%6.48%46.20%
70
Outperform
$16.89B32.8612.91%1.27%7.32%12.36%
69
Neutral
$25.39B25.899.17%1.55%4.41%9.23%
65
Neutral
$8.83B13.7917.13%1.95%-2.15%8.39%
63
Neutral
$10.79B15.437.44%2.01%2.89%-14.66%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
GRC
Gorman-Rupp Company
73.76
27.99
61.15%
FLS
Flowserve
68.20
16.00
30.65%
FELE
Franklin Electric Co
98.36
0.92
0.94%
IEX
IDEX
229.05
63.72
38.54%
PNR
Pentair
55.30
-52.23
-48.57%
XYL
Xylem
108.74
-38.59
-26.19%

Gorman-Rupp Company Corporate Events

Business Operations and StrategyExecutive/Board Changes
Gorman-Rupp Implements New Executive Change-of-Control Agreements
Neutral
Oct 2, 2026
On October 1, 2026, Gorman-Rupp adopted new change-of-control severance agreements for key executives, including CEO and President Scott A. King, General Counsel Brigette A. Burnell and CFO Ronald F. Stoops, with an initial one-year term and autom...
Executive/Board Changes
Gorman-Rupp Announces CFO Retirement and Successor Appointment
Neutral
Jul 24, 2026
On July 23, 2026, Gorman-Rupp announced that Executive Vice President and Chief Financial Officer James C. Kerr plans to retire, having served as CFO since 2017 after joining the company in 2016. Kerr, credited with elevating the firm’s fina...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Oct 24, 2026