BHEL Receives ‘Buy” Recommendation From Analysts; Highest in a Decade

Close to 41% of the 17 analysts covering Bharat Heavy Electricals Ltd. (BHEL) gave a “buy” recommendation on the stock. This is the highest level of “buy” recommendation the stock has received since 2011.

While seven analysts have given a “buy” recommendation, eight held a “sell” recommendation. Meanwhile, 2 analysts opined to ‘hold’.

The company reported its December quarter earnings on January 28, where its revenue surged by 32% from the last year, buoyed by better execution in the Power & Industry segment.

Though Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) went up by 41% year-on-year, it missed the analyst’s expectations.

Order inflows during this quarter stood at ₹6,860 crore, clocking a growth of 167% YoY, while the company's order book stood at ₹1.6 lakh crore.

CLSA maintained its "reduce" rating on the stock and cut its price target to ₹166 from ₹205 earlier, while calling the stock as “expensive”.

As of 1:23 pm, shares of BHEL are currently trading at ₹197.10, up 5.05%.