Rs 75,934 crore order book & 1,34,900 per cent returns: Multibagger defence company bags new order worth Rs 230 crore from Thales Reliance Defence Systems
The stock gave multibagger returns of 165 per cent in just 1 year, 445 per cent in 3 years and a whopping 1,755 per cent in a decade.
On Friday, shares of Bharat Electronics Limited (BEL) gained 0.58 per cent to an intraday high of Rs 327.50 per share from its previous closing of Rs 335.55. The stock’s 52-week high is Rs 340.35 and its 52-week low is Rs 123.55.
Navratna Defence Public Sector Undertaking, Bharat Electronics Limited (BEL) has obtained an export order worth EURO 25.75 million (Estimated value Rs 230 crore) from Thales Reliance Defence Systems (TRDS) for the manufacture and supply of Transmit Receive (TR) modules. The TR modules will be used in the radars of fighter aircraft.
Additionally, BEL has secured orders valued at Rs 192 crore following the last disclosure on June 28, 2024, which comprises communication equipment, encryptors, spares and services for radars, fire control systems etc. With these, BEL has now accumulated orders totalling Rs 5,225 crore in the current financial year.
About the Company
Bharat Electronics Limited (BEL), established in 1954, is a prominent Indian government-owned company under the Ministry of Defence. They specialize in manufacturing cutting-edge electronic products and systems for the Indian armed forces, encompassing areas like radars, missile systems, communication technologies, electronic warfare systems, avionics for aircraft, naval systems, and even tank electronics. While their primary focus is defence, BEL also has a limited presence in the civilian market, offering solutions in cybersecurity, e-mobility, railways, e-governance and more.
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Bharat Electronics Limited (BEL), a leading Indian defence PSU, reported strong financial performance in FY 2023-24, with turnover surging 14.35 per cent to Rs 19,819.93 crore and profit before tax (PBT) soaring 33.87 per cent to Rs 5,334.56 crore compared to the previous year. This growth trend continued in the fourth quarter, with turnover reaching Rs 8,335.01 crore and PBT at Rs 2,385.61 crore, reflecting a significant increase from the corresponding period in FY 2023. Similarly, profit after tax (PAT) jumped 33.70 per cent to Rs 4,020 crore for the full year and 31.56 per cent to Rs 1,783.52 crore in Q4FY24, highlighting BEL's robust financial health and profitability.
The company has a market cap of over Rs 2.40 lakh crore and has been maintaining a healthy dividend payout of 48 per cent. The company’s order book stands at Rs 75,934 crore as of April 01, 2024. The company's shares have an ROE of 26 per cent and an ROCE of 35 per cent. The stock gave multibagger returns of 165 per cent in just 1 year, 445 per cent in 3 years and a whopping 1,755 per cent in a decade. From Rs 0.25 (in the year 1999) to Rs 327.50 per share (intraday high of July 12), the stock gave multibagger returns of 1,34,900 per cent. This Defence PSU mid-cap stock should be kept under the radar.
Disclaimer: The article is for informational purposes only and not investment advice.
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