ScoreWhy is Bharat Heavy Electricals Ltd. ?
1
Company has a low Debt to Equity ratio (avg) at 0.03 times
2
Healthy long term growth as Net Sales has grown by an annual rate of 14.31% and Operating profit at 20.69%
3
With a growth in Net Profit of 221.33%, the company declared Outstanding 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
4
Stock is technically in a Bullish range
- The technical trend has improved from Mildly Bullish on 20-Apr-26 and has generated 24.68% returns since then
- Multiple factors for the stock are Bullish like MACD, Bollinger Band, KST and OBV
5
High Institutional Holdings at 31.21%
- These investors have better capability and resources to analyse fundamentals of companies than most retail investors.
- Their stake has increased by 5.15% over the previous quarter.
6
Company is among the highest 1% of companies rated by MarketsMojo across all 4,000 stocks
- It is ranked 4 across all Mid Cap and 42 across the entire market
Real-Time Research ReportHow much should you buy?
- 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
61.16%
1.61
38.09%
Sensex
-4.95%
-0.37
13.26%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
14.31%
EBIT Growth (5y)
20.69%
EBIT to Interest (avg)
1.28
Debt to EBITDA (avg)
8.09
Net Debt to Equity (avg)
-0.14
Sales to Capital Employed (avg)
0.76
Tax Ratio
25.17%
Dividend Payout Ratio
32.61%
Pledged Shares
0
Institutional Holding
31.21%
ROCE (avg)
1.73%
ROE (avg)
2.54%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
85
Industry P/E
60
Price to Book Value
5.22
EV to EBIT
65.57
EV to EBITDA
56.73
EV to Capital Employed
5.91
EV to Sales
3.93
PEG Ratio
0.43
Dividend Yield
0.13%
ROCE (Latest)
9.02%
ROE (Latest)
6.12%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Mildly Bullish
Moving Averages
Bullish (Daily)
KST
Bullish
Bullish
Dow Theory
No Trend
No Trend
OBV
Mildly Bearish
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
