Overall Fundamental outlook

Business Operations:

Sector: Industrials
Industry: Specialty Industrial Machinery

Bharat Heavy Electricals Limited operates as engineering and manufacturing company in India and internationally. The company operates in two segments: Power and Industry. It offers coal based, gas-based, nuclear, and hydro power plants, as well as solar power systems; transmission systems; defense and aerospace products; industrial systems; and energy storage system and e-mobility solutions. The company also provides steam generators and steam generator auxiliaries, soot blowers, valves, piping systems, seamless steel tubes, pressurized fluidized bed gasifiers, steam turbines, turbo generators, industrial sets, castings and forgings, condenser and heat exchangers, pumps, centrifugal compressors, solar photovoltaics, and automation and control systems. In addition, it offers software system solutions, medium voltage vacuum switchgears, on load tap changers, LT switchgears and bus ducts, transformers and reactors, capacitors, bushings, control gears, insulators and ceramics, and electrical machines. Further, the company provides rail transportation systems and equipment, oil field equipment, fabricated equipment and mechanical packages, and desalination and water treatment plants. It serves customers in power-thermal, transmission, transportation, renewables, water, oil and gas, defense and aerospace, hydro, gas, nuclear and solar PV, energy storage, electric mobility, petrochemicals, and other industries. The company was incorporated in 1964 and is based in New Delhi, India.

Revenue projections:

Revenue projections for BHEL
Revenue projections for BHEL

Investors may react cautiously to news that Bharat Heavy Electricals Limited's revenues are forecasted to be lower than last year's. Such declines are likely to have a negative effect on the company's bottom line, which can lead to concerns about profitability and hinder investor confidence in the company's future performance.

Financial Ratios:

currentRatio 1.515000
forwardPE 24.218819
debtToEquity 36.464000
earningsGrowth -0.504000
revenueGrowth 0.089000
grossMargins 0.327350
operatingMargins 0.068970
trailingEps 1.540000
forwardEps 7.580000

BHEL's current ratio being 1.515 shows it has more than enough assets to cover its short-term debts. The company's liquidity position is strong, with ample cash reserves available to meet its immediate financial obligations without strain.
Bharat Heavy Electricals Limited's Forward PE is at a healthy level, indicating that the stock price is well-positioned relative to its earnings. With the stock not being overvalued, there remains room for future growth, suggesting a balanced opportunity for investors seeking potential upside.
BHEL's low earnings and revenue growth suggest that the company may face shrinking profits. This could indicate underlying financial challenges, making it difficult for BHEL to sustain its current profitability.
BHEL's negative gross and operating margins indicate that the company is not generating profit from either production or day-to-day operations. This could suggest cost overruns or declining revenue, impacting its financial stability.
Bharat Heavy Electricals Limited's forward EPS exceeds its trailing EPS, indicating that the company is projected to be more profitable in the current financial year compared to the previous one. This suggests positive growth and improved earnings, signaling an optimistic outlook for Bharat Heavy Electricals Limited's financial performance.

Price projections:

Price projections for BHEL
Price projections for BHEL

Bharat Heavy Electricals Limited's price projections have gradually increased over time, indicating that analysts are becoming more optimistic about the company's prospects. This suggests confidence in Bharat Heavy Electricals Limited's ability to achieve future growth.

Recommendation changes over time:

Recommendations trend for BHEL
Recommendations trend for BHEL


A recent sell bias for BHEL from analysts suggests caution for investors. However, decisions should be grounded in a diverse set of market indicators, ensuring that a wider perspective is considered before making any moves regarding the stock's performance and potential risks.