ScoreWhy is Bharat Heavy Electricals Ltd. ?
1
Healthy long term growth as Net Sales has grown by an annual rate of 14.94% and Operating profit at 18.91%
2
Positive results in Dec 25
- PBT LESS OI(Q) At Rs 301.08 cr has Grown at 325.01%
- PAT(Q) At Rs 390.40 cr has Grown at 189.8%
- CASH AND CASH EQUIVALENTS(HY) Highest at Rs 8,154.13 cr
3
With ROCE of 3.2, it has a Expensive valuation with a 3.4 Enterprise value to Capital Employed
- The stock is trading at a discount compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of 30.98%, its profits have risen by 56.9% ; the PEG ratio of the company is 2
4
High Institutional Holdings at 26.06%
- These investors have better capability and resources to analyse fundamentals of companies than most retail investors.
- Their stake has increased by 1.16% over the previous quarter.
5
Market Beating performance in long term as well as near term
- Along with generating 30.98% returns in the last 1 year, the stock has outperformed BSE500 in the last 3 years, 1 year and 3 months
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to BHEL should be less than 10%
- Overall Portfolio exposure to Heavy Electrical Equipment should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Heavy Electrical Equipment)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is BHEL for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
BHEL
32.05%
0.95
34.22%
Sensex
7.15%
0.62
11.21%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
14.94%
EBIT Growth (5y)
18.91%
EBIT to Interest (avg)
-0.26
Debt to EBITDA (avg)
7.58
Net Debt to Equity (avg)
0.12
Sales to Capital Employed (avg)
0.72
Tax Ratio
27.00%
Dividend Payout Ratio
32.61%
Pledged Shares
0
Institutional Holding
26.06%
ROCE (avg)
-0.66%
ROE (avg)
1.63%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
111
Industry P/E
57
Price to Book Value
3.72
EV to EBIT
84.39
EV to EBITDA
65.80
EV to Capital Employed
3.44
EV to Sales
3.07
PEG Ratio
1.96
Dividend Yield
0.20%
ROCE (Latest)
3.22%
ROE (Latest)
2.29%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Mildly Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Mildly Bearish
Mildly Bearish
Dow Theory
Mildly Bearish
Mildly Bullish
OBV
No Trend
Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend17What is working for the Company
PBT LESS OI(Q)
At Rs 301.08 cr has Grown at 325.01%
PAT(Q)
At Rs 390.40 cr has Grown at 189.8%
CASH AND CASH EQUIVALENTS(HY)
Highest at Rs 8,154.13 cr
-3What is not working for the Company
DEBT-EQUITY RATIO(HY)
Highest at 0.45 times
NON-OPERATING INCOME(Q)
is 42.08 % of Profit Before Tax (PBT
Loading Valuation Snapshot...
Here's what is working for BHEL
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 301.08 cr has Grown at 325.01%
Year on Year (YoY)MOJO Watch
Near term PBT trend is very positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs 390.40 cr has Grown at 189.8%
Year on Year (YoY)MOJO Watch
Near term PAT trend is very positive
PAT (Rs Cr)
Cash and Cash Equivalents - Half Yearly
Highest at Rs 8,154.13 cr
in the last six half yearly periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Here's what is not working for BHEL
Non Operating Income - Quarterly
is 42.08 % of Profit Before Tax (PBT)
MOJO Watch
The company's income from non business activities is high; which is not a sustainable business model
Non Operating Income to PBT
Debt-Equity Ratio - Half Yearly
Highest at 0.45 times
in the last five half yearly periodsMOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed
Debt-Equity Ratio
Non Operating Income - Quarterly
Highest at Rs 218.75 cr
in the last five quartersMOJO Watch
Increased income from non business activities may not be sustainable
Non Operating Income
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
GET THE MARKETSMOJO APP
Company
Stocks
Portfolio
"Investment in securities markets are subject to market risk. Read all the related documents carefully before investing."
