Rs 1,25,000 crore order book: LIC-backed multibagger heavy electrical equipment stock bags order worth Rs 4,000 crore from Adani Power Ltd

From Rs 67.63 to Rs 253.35 per share, the stock gave multibagger returns of 275 per cent to its investors.

Bharat Heavy Electricals Limited (BHEL) secured a significant domestic order worth approximately Rs 4,000 crore (excluding GST) from Adani Power Limited on March 27, 2024. This contract involves BHEL supplying equipment (boilers, turbines, generators) and supervising the erection and commissioning of a 2x800 MW supercritical thermal power plant at Raigarh Phase-II in Chhattisgarh. The boilers and turbine generators will be manufactured at BHEL's domestic facilities in Trichy and Haridwar, with a delivery timeline of 31 months for Unit 1 and 35 months for Unit 2.

Earlier, Bharat Heavy Electricals Limited (BHEL) signed two agreements (MoU) with NBCC (India) Ltd focusing on redevelopment of BHEL's properties and facilities along with renting or licensing out their buildings on a pan-India basis. NBCC, a fellow Central Public Sector Enterprise (CPSE), will be compensated with project management consultancy and project marketing fees.

Today, shares of BHEL gained 4.30 per cent to an intraday high of Rs 253.35 per share from its previous closing of Rs 242.90 per share. The stock’s 52-week high is Rs 271.90 while its 52-week low is Rs 67.63.

BHEL, a leading public sector enterprise under the Ministry of Heavy Industries and Public Enterprises, has been at the forefront of India's power sector for over six decades. With a strong track record in the design, engineering, and manufacturing of a wide range of power generation equipment, BHEL has played a pivotal role in powering the nation's economic growth.

BHEL Limited manufactures various power plant equipment. The company has a market cap of over Rs 86,000 and its order book stands at over Rs 1,25,000 crore. The President of India’s portfolio owns 63.17 per cent and Life Insurance Corporation of India’s portfolio owns 9.62 per cent as of December 2023.

The company has reported a mixed set of numbers in its Quarterly Results (Q3FY24) and nine-month results (9MFY24). The company has been maintaining a healthy dividend payout of 20.1 per cent. From Rs 67.63 to Rs 253.35 per share, the stock gave multibagger returns of 275 per cent to its investors.

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Disclaimer: The article is for informational purposes only and not investment advice.