Bharat Electronics Ltd.
Infrastructure · NSE
52-week range
₹303 – ₹473
From 52w high
-7.1%
RSI (14)
51.6
vs SMA 50 / 200
↑ 50 · ↑ 200
Bharat Electronics Limited (BEL), a Navratna defence PSU, trades at ₹439.70, sitting above both its 50-DMA (₹438.46) and 200-DMA (₹412.45) with RSI at 51.56. The stock has returned +42.54% over the past 12 months, though 3-month price change has flattened to +0.54% as it consolidates near its 52-week high (drawdown: -7.13%). A reported order book of ₹74,000 Cr and record FY26 revenue with 16% growth anchor the fundamental backdrop, while the trailing PE of 53.74 reflects the premium the market attaches to the defence electronics segment.
- ✓Consistent revenue and earnings compounding: 5-year revenue CAGR of 24% and earnings CAGR of 20.7%, supported by a profit margin of 22.48% — among the higher reported margins in the Infrastructure peer group.
- ✓Ranked 1st of 6 on quality score (57 vs sector peers ranging 24–53) with a fundamental consistency score of 78, reflecting relative stability in reported financials.
- ✓Conservative leverage: debt-to-equity of 0.273 despite a rising trend, well below levels that would signal solvency stress; dividend yield of 0.99% adds a modest income component.
- ✓Price above both 50-DMA and 200-DMA with RSI in neutral territory (51.56), indicating neither overbought momentum nor technical deterioration at the current reading.
- ✗Trailing PE of 53.74 and forward PE of 44.74 embed significant growth expectations; any earnings miss or guidance revision could compress the multiple quickly, as peers ABB (95.2x) and CGPOWER (113.8x) illustrate how far such valuations can stretch — and contract.
- ✗Current-period ROE is unavailable, and FCF-positive years stand at only 3 out of the observable window, limiting the ability to assess whether the high profit margin translates into durable cash generation.
- ✗Debt-to-equity trend is classified as rising; while the absolute ratio (0.273) is currently low, a sustained upward trajectory warrants monitoring given the capital-intensive nature of defence programme execution.
- ✗3-month price change of +0.54% indicates near-term momentum has stalled after the 42.54% 12-month run; nearest support cluster at ₹424.50–₹428.53 is approximately 2.5–3.5% below current price.
- ·BEL announced its Q4 FY26 results board meeting date alongside a dividend declaration update (May 2026); the outcome of this results announcement is a key near-term data point for order-book progression and margin trajectory.
- ·Trade Brains reported record FY26 revenue with 16% growth and cited an order book of approximately ₹74,000 Cr as of early April 2026 — the conversion rate of this backlog into recognised revenue and FCF will be central to validating the current earnings multiple.
- ·BEL signed a partnership with i-TEK RFID to expand automated identification and data-capture solutions (April 2026), indicating diversification of technology offerings beyond core defence electronics into adjacent digital infrastructure.
- ?Does the ₹74,000 Cr order book translate into FCF at a rate consistent with historical working-capital cycles, or does execution complexity compress cash conversion?
- ?Is the rising debt-to-equity trend driven by working-capital requirements tied to the expanding order book, or does it reflect structural balance-sheet changes that could persist?
- ?How has BEL performed relative to sector peers on revenue growth and margins during previous defence-spending cycles, and how does the current cycle compare in terms of duration and government disbursement pace?
- ?What proportion of the order book is tied to domestic programmes versus exports, and how does that mix affect revenue visibility and margin predictability over the next 3–5 years?
PE
53.7
Forward PE
44.7
ROE
—
Profit margin
+22.5%
D/E
0.27
Dividend yield
+1.0%
Quality score
57/100
ROE 5y above 15%
4/5 yrs
FCF 5y positive
3/5 yrs
For informational purposes only. Not investment advice. VivaTrades is not a SEBI-registered Investment Adviser or Research Analyst. Market data sourced from public feeds; consult a registered adviser before any investment decision.Analysis generated 10 May 2026.