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Ridhima Jindal

Updated on 23rd May, 2024 , 3 min read

BHEL Share Price - Stock/Share Price, Price Cracks by almost 8% after Q4 Result

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BHEL Share Price: The analysts at CLSA shared a ‘Sell’ rating on BHEL with a target price of INR 189 per share, implying a downside of 36% from the current levels. So far this year, the BHEL shares scored over 56 percent outpacing the benchmark Nifty 50 index that rose by 3% during the same period. The shares of Bharat Heavy Electricals Limited (BHEL) tumbled as much as 7.5 - 8% to INR 295 a piece on May 22 after the January - March quarter (Q4 FY24) results missed the street expectations.

BHEL had hit the 52-week high with INR 322 per share on May 21, 2024

BHEL- A Brief Overview

BHEL is one of the largest Engineering & Manufacturing companies of its kind in India, which is engaged in design, engineering, construction, testing, commissioning, and providing other products and services with almost over 180 product offerings catering to the dynamic environment and growing needs of the economy sectors. To know more - visit the official website at bhel.com

What Does the Company Say on the Declined Share Price?

As per the company, the surprise decline of 26% Year-on-Year (YoY) is due to the slow-moving orders. “The company's backlog has grown by 44% YoY in Q4 FY24 as thermal orders picked up, but operationally, a flat execution led to another weak quarter. We believe that the company's thermal business looks bleak beyond FY30”, said the brokerage firm.

Morgan Stanley also shared a target below the current market price, setting it at INR 220 per share, which indicates a downside of 34% as Q4 earnings missed estimates. However, they maintained an ‘equal weight’ rating on BHEL seeing improving earnings visibility with strong orders and a healthy project pipeline. 

BHEL's Revenue & Profit Analysis

BHEL's net profit fell 26% YoY to INR 489 Cr. in the Q4 FY24 while revenue rose by 0.4% YoY to INR 8260 Cr. Along with this, the company's EBITDA, also known as the operational profit dropped by 30.6% YoY to INR 728 Cr., while the EBITDA margins squeezed by 400 basis points (bps) YoY to 8%. The PSU firm's board recommended a final dividend price of INR 0.25 per share for FY24.

Going ahead, the analysts at Kotak Institutional Equities believe that focus on execution would be the key for BHEL.

Kotak said that against 1.3x YoY order backlog, the revenue growth guidance is a modest 10-15% YoY. A potential miss in execution would impact the overall working capital for BHEL.  Furthermore, BHEL may end up sharing part of pricing gains from the orders with its vendors, limiting the case for margin uptick hereon. They also cautioned sharing a ‘sell’ rating on the counter with a target price of INR 75 per share.

BHEL Share Price - Pros & Cons

Listed below are the Pros and Cons relating to the fluctuation and decline in the BHEL Share Price.

ProsCons
  • The company has maintained a healthy dividend of 30.4%
  • Stock is trading at 4.32 times its book value
  • Low-interest coverage ratio
  • Poor sales growth of -4.73% in the past 5 years
  • The tax rate is low
  • Low return on equity of 1.49% in past 3 years
  • Earnings include another income of INR 610 Cr.
  • Debtor days have increased from 58 to 73.1
  • Working Capital (WC) days increased from 121 to 182

BHEL Share Price - Current Statistics

Check the current and latest up-to-date statistics for Bharat Heavy Electricals Ltd. (BHEL) Share Price.

BHEL CategoryPrice (INR)
Current Price301.90  -17.30 (-5.42%)
Previous Close319.20
Open305.00
High309.60
Low295.00
VWAP302.66
52 week high322.35
52 week low77.30
Upper Price Band351.10 (10%)
Lower Price Band287.30 (10%)
2W Avg. Qty. (Lakh)15.99
TTQ (Lakh)58.78
Turnover (Crore)177.91
Mcap Full (Crore)1,05,123.49
Mcap FF (Crore)38,895.69
Face Value2.00
EPS (TTM)-0.76
CEPS (TTM)-0.04
PE-397.24
PB4.23
ROE-1.06
Book Value70.2
Dividend Yield0.13%
ROCE2.97%

BHEL Share Price - Results

Particulars (In Cr.)Mar '24Dec '23FY 23 - 24
Revenue8260.255503.8123,892.78
Net Profit (NP)484.36-162.77259.89
EPS1.39-0.470.75
Cash EPS1.59-0.291.46
OPM%10.810.755.02
NPM%5.86-2.961.09

BHEL Share Price - Delivery Position

ParticularsDetails
Trade Date22 May 2024 | 16.26 p.m.
Quantity Traded58,77,478
Deliverable Quantity (Gross across client level)16,85,073
% of Deliverable Quantity to Traded Quantity28.67

BHEL Share Price - Similar Stocks

Refer the table to understand the stock market values and prices of competitors similar to BHEL.

CompanyPrice (Rs.)PEPBMkt. Cap (Rs.)52W L52W H
Siemens

7159.30

(-1.72%)

111.1118.642,59,401.55 Cr.32467347.00
ABB India

8413.20

(-1.59%)

124.7130.551,81,634.09 Cr.3809.508599.80
Havells India

1842.95

(-1.28%)

91.9215.691,16,826.25 Cr.1232.851874.60
CG Power & Industrial Solutions Ltd.

641.05

(-0.30%)

68.6032.5298,138.80 Cr.339.10669.00
GE T & D India

1429.95

(+4.98%)

349.1830.5734,689.65 Cr.176.901429.95
Apar Industries

7855.00

(-0.82%)

38.558.2031,803.67 Cr.2672.008399.00
Crompton Greaves Computer Electricals Ltd.

389.25

(-0.36%)

57.038.3625,088.04 Cr.256.20410.00
Schneider Electrical Infrastructure Ltd.

909.60

(+2.00%)

99.8996.6921,327.72 Cr.184.65921.10
V Guard Industries Ltd.

375.30

(+0.27%)

63.158.9716,265.58 Cr.239.00393.75
Bharat Bijlee

4451.30

(-4.52%)

40.272.845,292.74 Cr.1414.507000.00

Bharat Heavy Electricals Limited - Stock Analysis & Analyst Views

Stock Traders and Investors can utilize the below table to know the BHEL Share Price Patterns and accordingly draw their conclusion on whether to sell, keep, or buy the shares.

BHEL Share Price Analysis

BHEL Stock Analysis TimelineAnalysis in %
1 week10.74
3 Months38.24
6 Months128.65
YTD64.92
1 Year302.52

BHEL Share Price - Analysts' Views

Ratings

Current

1W Ago

1M Ago

3M Ago

Strong Buy

3

3

3

4

Buy

1

1

1

1

Hold

3

3

3

3

Sell

6

6

6

6

Strong Sell

6

6

6

6

Total

19

19

19

20

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