Stock Market Today: Defence stock Bharat Electronics share price rose 3% in the morning trade on Tuesday, October 8, after the company announced order wins worth ₹500 crore.
Bharat Electronics share price opened at ₹266.90 on the BSE on Tuesday, slightly higher than the previous close of ₹267.35. The stock extended gains to ₹277.80, marking a rise of more than 3%.
Bharat Electronics share price, which had corrected 7% in the last five trading sessions, rebounded on Tuesday amid improved sentiments in the broader market and order wins. While Bharat Electronics share price is down 19% from highs seen in July, it has still given multibagger returns to investors. The stock is up 103% in the last one year.
The Navratna defence public sector company, Bharat Electronics, in a release on Monday post market hours, said that it secured additional orders of more than ₹500 crore since its last disclosure on September 11, 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, Bharat Electronics has already amassed orders amounting to ₹7,689 crore for the current fiscal year.
Analysts are positive about the company's prospects, as the strong order book improves outlook.
Analysts at Prabhudas Lilladher Institutional Equities believe that Bharat Electronics' long-term prospects will continue to remain strong driven by robust order backlog and pipeline, aided by the government’s push on defence 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.
The brokerage has an 'Accumulate' rating on the company with a target price of ₹341.
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.
