Gorman-Rupp Company (GRC)

In the past six months, Gorman-Rupp's stock was influenced by its Q2 2025 results highlighting record net sales and Q3 2025 results with sales of $172.8 million, a 2.8% year-on-year increase, although below analyst estimates. Incoming orders for Q3 2025 totaled $184.5 million, contributing to a strong backlog of $234.2 million. Sales growth was driven by the industrial market, particularly data centers, and the municipal market, while construction market sales decreased. The company declared cash dividends on July 25, 2025, and October 24, 2025, and undertook facility optimization efforts expected to generate annual savings. The stock price saw positive movement in January 2026, and strong fundamentals were cited as a reason for the stock's decent performance in December 2025. As of September 2025, the stock was up 16% over the past twelve months and 22% over the past three months, with an attractive valuation.

Demand for Gorman-Rupp products is influenced by modernization efforts, infrastructure investment, and economic cycles. Sales growth in Q3 2025 was driven by increased demand in the industrial market related to data centers and the municipal market due to infrastructure spending, while the construction market experienced a decrease. The company serves critical infrastructure markets where reliability is paramount and demand is often non-discretionary. The global pump industry is fragmented, and pricing for its products tends to remain stable.

The Gorman-Rupp Company, founded in 1933 and based in Mansfield, Ohio, is a pump manufacturer operating within the Industrials sector. It designs, manufactures, and sells a diverse range of pumps, pump systems, and related equipment, serving markets such as municipal, industrial, construction, petroleum, OEM, agriculture, fire protection, HVAC, and military applications. The company focuses on providing superior products with better performance.

Headquartered in Mansfield, Ohio, The Gorman-Rupp Company has a significant global presence through subsidiaries, distributors, manufacturers' representatives, third-party distributor catalogs, and direct sales. The company has locations in the United States, Canada, the Netherlands, Belgium, Ireland, and South Africa, and exports its pumps to over 100 countries worldwide.

The Gorman-Rupp Company has maintained a strong brand reputation built on product quality and technological leadership. The company is recognized for providing superior pumping solutions, rugged, reliable equipment, and comprehensive aftermarket support services. Its strong market presence and commitment to continuous product innovation and geographic expansion contribute positively to its reputation. The company's record of 52 consecutive years of annual dividend increases demonstrates financial stability and a strong commitment to its shareholders.

The ownership structure of Gorman-Rupp is characterized by significant institutional and insider holdings. Institutional investors collectively own approximately 60% to 63% of the company's stock, with major holders including The Vanguard Group, Inc., and BlackRock, Inc. Individual insiders, including Jeffrey S. Gorman, Gayle G. Green, and James Carvell Gorman, hold a substantial portion of the company's shares, ranging from approximately 10% to 21%.