JRSH Stock Forecast & Price Target

Jerash Holdings (US) Inc. has demonstrated a notable year-over-year revenue increase of 36%, reaching $29.3 million in the March 2025 quarter, despite challenges posed by geopolitical events affecting the supply chain, which hindered potential revenues by $3 million to $4 million. The company's gross margins improved significantly to 17.9%, reflecting a recovery from prior year's deleverage caused by weak sales. Furthermore, the shift of manufacturing demand away from Asian countries, bolstered by tariffs, has led to increased customer flow, highlighted by a significant commitment from Walmart’s Sam’s Club division to utilize Jerash's manufacturing capabilities in Jordan.

Jerash Holdings (US) Inc. is facing a challenging outlook primarily due to geopolitical uncertainties and significant port disruptions, particularly in Haifa, which have negatively impacted its sales projections. The company anticipates a year-over-year revenue decline of 7% to 2% for the first quarter of fiscal 2026, resulting in an estimated revenue range of $38 million to $40 million, reflecting conservative guidance amid these challenges. Additionally, recent port issues have led to an estimated sales loss of $3 million to $4 million, further complicating the company's financial outlook as it transitions shipping routes to mitigate these disruptions.