Rs 18,852 crore order book: President of India-backed defence company bags new order worth Rs 4,362.23 crore from Ministry of Defence
The stock is up by 60 per cent in just 1 year and has given multibagger returns of over 1,400 per cent in 5 years.
Bharat Dynamics Ltd (BDL) has secured a significant contract worth Rs 4362.23 Crore from the Ministry of Defence to supply armaments to the Indian Armed Forces. While specific terms, conditions, and delivery timelines remain confidential due to national security concerns, it is confirmed that this order is awarded to BDL, a domestic entity, highlighting India's push for self-reliance in defence manufacturing.
Established in 1970, Bharat Dynamics Ltd (BDL) is a Government of India enterprise that manufactures missiles, weapon systems, and related equipment for the Indian Armed Forces. They are the sole manufacturer and integrator of missiles and torpedoes for the Indian military, and their products include surface-to-air missiles, air-to-air missiles, and underwater weapons. BDL is continuously expanding its operations and capabilities, with new facilities and technology implementations underway.
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The President of India owns the majority of the stake (74.93 per cent) while FIIs own 3.09 per cent, DIIs own 8.70 per cent and the public owns 13.28 per cent. The company has a market cap of over Rs 48,000 crore while its order book stands at Rs 18,852 crore as of September 30, 2024.
The company's shares have a PE of 86x, an ROE of 18 per cent and an ROCE of 24 per cent. The stock is up by 60 per cent in just 1 year and has given multibagger returns of over 1,400 per cent in 5 years. Investors should keep an eye on this mid-cap aerospace & defence stock.
Disclaimer: The article is for informational purposes only and not investment advice.