Multibagger Defence stock Bharat Electronics share price gains 3% helped by ₹500 Crore order wins; Buy Sell or Hold? | Stock Market News

Stock Market today: Defence Stock Bharat Electronics share price gained 3% in the morning trades on Tuesday. The investors sentiments on Bharat Electronics share price improved as the company announced order wins of ₹500 Crore.

The Bharat Electronics share price opened at ₹266.90 on the BSE on Tuesday, slightly higher than previous close of ₹267.35. The Bharat Electronics share price thereafter gained further to ₹277.80 marking gains of more than 3%.

Multibagger returns

The Bharat Electronics share price that had corrected 7% in last 5 trading sessions is now rebounding in the relief rally seen by the markets. Bharat Electronics share price though is down 19% from highs seen in July, nevertheless still has given Multibagger returns to investors. Bharat Electronics share price is still up 103% in last one year.

Healthy Order book

Navratna Defence Public Sector Undertaking, Bharat Electronics in its release on Monday post market hours said that it has secured additional orders of more than Rs.500 Crore since its last disclosure on 11th September, 2024.

EMI shelters, AMC for Integrated Air Command and Control system nodes, upgrades and spares for gun systems, radar spares, communication system spares, etc. are among the key orders received by Bharat Electronics. With these purchases, Bharat Electronics (BEL) has already amassed orders for the current fiscal year that total Rs. 7,689 Crore.

As the strong order book improves outlook, analyst already have remained positive on prospects

Strong Earnings prospects 

Analysts at Prabhudas Lilladher Institutional Equities believe that Bharat Electronics’ long term prospects will continue to remain strong driven by robust order backlog & pipeline aided by government’s push on defense indigenization, its diversification into non-defense verticals and improving margin profile. They expect the company to report revenue and adjusted net profit CAGR (compound annual growth rate) of 17.6% and 17.3% respectively over FY24-26. We have an ‘Accumulate rating on the company with a TP of Rs341

Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before taking any investment decisions.