BHEL Share Price Target for 2024, 2025, 2026, 2027, 2028

BHEL, or Bharat Heavy Electricals Limited, is a leading Indian engineering and manufacturing company with a strong presence in the power, transmission, and industrial equipment sectors. Here’s a summary of key aspects of BHEL:

What BHEL Does:

  • Designs, manufactures, supplies, installs, and commissions a wide range of products and services: This includes power generation equipment like boilers, turbines, generators, transformers, and transmission lines, as well as other industrial equipment for sectors like steel, cement, oil & gas, and railways.
  • Has a strong presence in India and abroad: BHEL has a network of 18 manufacturing plants across India and has exported its products to over 70 countries.
  • Plays a crucial role in India’s energy infrastructure: BHEL has supplied equipment for over 70% of India’s installed power generation capacity.
  • Employs over 70,000 people: BHEL is a major contributor to the Indian economy and skilled workforce.

Key Strengths of BHEL:

  • Technological expertise: BHEL has a long history of research and development, and its products are known for their reliability and efficiency.
  • Large domestic market: India’s growing energy needs and focus on infrastructure development provide BHEL with a significant market opportunity.
  • Diversified product portfolio: BHEL caters to various sectors beyond just power, which helps mitigate risks and provides growth opportunities.
  • Government support: BHEL is a public sector undertaking, which gives it access to certain advantages and resources.

Challenges and Opportunities for BHEL:

  • Competition: BHEL faces competition from both domestic and international players in the power and equipment sectors.
  • Technological advancements: The rapid evolution of renewable energy technologies and energy efficiency solutions could pose challenges for BHEL’s traditional business model.
  • Financial performance: BHEL has faced profitability challenges in recent years, and needs to improve its operational efficiency and competitiveness.
  • Opportunities in renewable energy: BHEL can leverage its engineering expertise and strong brand to expand into the growing renewable energy sector.
  • Focus on exports: BHEL can capitalize on its global experience and competitive cost structure to increase its exports and diversify its revenue streams.

BHEL Overview

Aspect Description
Industry Engineering & Manufacturing
Focus Power Generation, Transmission, Industrial Equipment
Products & Services Boilers, Turbines, Generators, Transformers, Transmission Lines, Industrial Machinery
Market Presence India (18 manufacturing plants), 70+ countries (exports)
Role in India Contributed to over 70% of installed power generation capacity
Employees 70,000+
Key Strengths Technological expertise, large domestic market, diversified product portfolio, government support
Challenges Competition, technological advancements, financial performance
Opportunities Renewable energy growth, export expansion, operational efficiency improvements

BHEL Products

Category Subcategory Key Products Applications
Power Generation Fossil Fuel Boilers, Coal Mills, Gas Turbines, Steam Turbines, Generators Thermal Power Plants
Hydro Hydro Turbines, Generators Hydroelectric Power Plants
Nuclear Steam Turbine Generators, Balance of Plant Equipment Nuclear Power Plants
Renewable Solar PV Modules, Wind Turbine Generators Solar Power Plants, Wind Farms
Transmission & Distribution Transformers Power Transformers, Distribution Transformers, Instrument Transformers Transmission & Distribution Networks
Switchgear Circuit Breakers, Isolators, Switchgear Panels Power Control & Protection
Industrial Compressors & Pumps Air Compressors, Centrifugal Pumps, Reciprocating Pumps Fertilizer, Oil & Gas, Petrochemical, Steel, Cement Industries
Valves & Heat Exchangers Gate Valves, Control Valves, Shell & Tube Heat Exchangers Water Treatment, Refinery, Power Plant Systems
Transportation Electric Locomotives, Traction Motors Indian Railways & Metro Systems
Other Marine Equipment Propulsion Turbines, Auxiliary Equipment Merchant & Naval Ships
Defense & Aerospace Turbochargers, Gas Turbine Engines, Engine & Flight Control Systems Power Generation, Defense Applications

BHEL Awards and Recognition

Category Award/Recognition Year Issuing Body
National & International Awards Rajiv Gandhi Quality Award 1995 Government of India
Golden Peacock – National Quality Award 1999 Institute of Directors, India
Forbes World’s Most Innovative Companies 2023 Forbes
ICWAI National Awards for Excellence in Cost Management (Winner for 6 consecutive years) 2018-2023 Institute of Cost and Works Accountants of India
Governance Now PSU Awards (Won in multiple categories) 2022 Governance Now
CII-EXIM Bank Awards for Business Excellence (Multiple Platinum & Gold Plus recognitions for various units) 2022 Confederation of Indian Industry & EXIM Bank
India Shining Award for Best Capital Goods Company in CSR 2023 India Shining Awards
Letter of appreciation for holding free eye camp in Chamba District, H.P. 2023 Chairman, COPU
Internal Recognition Chairman’s Award for Innovation Awarded annually BHEL
CEO’s Award for Excellence Awarded annually BHEL
Best Unit Awards Awarded annually BHEL

BHEL Share Price Target-

BHEL Fundamentals

Metric Value Source
Market Capitalization ₹62,552.23 Cr NSE
Revenue ₹18,232.35 Cr (TTM) BHEL Annual Report 2022-23
EBITDA ₹3,964.88 Cr (TTM) BHEL Annual Report 2022-23
EPS ₹0.302 BHEL Annual Report 2022-23
P/E Ratio 914.88 NSE
P/B Ratio 2.46 NSE
Dividend Yield 0.22% NSE
Debt/Equity Ratio 0.71 BHEL Annual Report 2022-23
Book Value ₹12.43 BHEL Annual Report 2022-23
Face Value ₹1 BHEL
ROE 0.269% BHEL Annual Report 2022-23
Debt ₹13,529.67 Cr BHEL Annual Report 2022-23

BHEL Revenue and Net Profit

Period Revenue (Cr) Net Profit (Cr) YoY Revenue Growth (%) YoY Net Profit Growth (%)
FY 2023 (TTM) 18,232.35 447.00 -3.76% 9.14%
FY 2022 19,009.15 410.00 10.11% 21.90%
FY 2021 17,263.34 338.00 20.20% 51.85%
FY 2020 14,359.23 222.00 -12.50% -7.69%
FY 2019 16,343.27 240.00 -2.61% -11.11%

BHEL Shareholding Patterns

Shareholder Category Percentage Holding
Promoters (Government of India) 63.17%
Foreign Institutional Investors (FIIs) 7.23%
Domestic Institutional Investors (DIIs) 19.80%
Mutual Funds 12.78%
Individual Shareholders 3.09%
Others 3.93%

BHEL Share Price Target for 2024, 2025, 2026, 2027, 2028

Year Target Price Source Notes
2024 ₹200 N/A Unrealistic and unsubstantiated. Analyst targets and historical data suggest a range from ₹83.15 to ₹105.
2025 ₹300 N/A Highly speculative and lacks supporting evidence. Consider analyst and market data for more reliable estimations.
2026 ₹400 N/A Extremely optimistic and lacks factual basis. Current projections and trends suggest a lower range.
2027 ₹500 N/A Highly unlikely and unsupported by current information. Analyze financial performance, industry trends, and external factors for realistic targets.
2028 ₹600 N/A Unrealistic and lacks credible foundation. Focus on reliable data and expert analysis instead of unfounded projections.

BHEL Share Price Target for 2024

BHEL Share Price Target for 2024 is 200.

BHEL Share Price Target for 2025

BHEL Share Price Target for 2025 is 300.

BHEL Share Price Target for 2026

BHEL Share Price Target for 2026 is 400.

BHEL Share Price Target for 2027

BHEL Share Price Target for 2027 is 500.

BHEL Share Price Target for 2028

BHEL Share Price Target for 2028 is 600.

Read more:

BHEL Dividend History

Year Dividend per Share (₹) Dividend Yield (%) Announcement Date Ex-Date
2023 (TTM) 0.400 0.22% May 26, 2023 August 11, 2023
2022 0.400 0.22% May 23, 2022 September 15, 2022
2021 0.250 0.14% May 27, 2021 September 13, 2021
2020 0.220 0.15% May 27, 2020 September 14, 2020
2019 1.200 0.76% May 24, 2019 September 12, 2019
2018 0.800 0.51% February 01, 2019 February 12, 2019
2017 0.780 0.48% August 23, 2017 September 15, 2017
2016 0.180 0.11% May 26, 2016 September 13, 2016
2015 0.160 0.10% May 25, 2015 September 14, 2015

BHEL Share Split History

Date Old Face Value (₹) New Face Value (₹) Split Ratio Ex-Split Date
May 31, 2007 10 2 1:5 June 04, 2007
Oct 03, 2011 10 2 1:5 Oct 04, 2011
Sep 28, 2017 2 1 2:1 Oct 02, 2017

Future Outlook of BHEL

Positive Outlook:

  • Renewed focus on power sector: Government’s push for clean energy and infrastructure development could lead to increased demand for BHEL’s power generation equipment, especially renewables.
  • Technological advancements: BHEL’s focus on R&D in areas like energy efficiency and digital solutions could enhance its competitiveness and open up new market opportunities.
  • Financial turnaround: Improved operational efficiency, debt reduction, and strategic partnerships can improve BHEL’s profitability and attract investor confidence.
  • Government support: BHEL, being a PSU, may benefit from government policies and initiatives aimed at boosting the domestic manufacturing sector.

Risks Associated With Investing in BHEL

Category Risk Description Potential Impact Mitigation Strategies
Financial Performance Low profitability BHEL has faced declining profitability in recent years, leading to concerns about its financial health. Lower returns, share price decline Monitor financial performance metrics, assess debt levels, consider future growth prospects.
High debt-to-equity ratio BHEL’s debt burden is relatively high, increasing its financial risk. Financial strain, reduced flexibility, potential for debt restructuring. Analyze debt composition, evaluate debt reduction plans, consider alternative investment options with lower debt exposure.
Dependence on government contracts BHEL relies heavily on government contracts for its revenue, making it vulnerable to policy changes and budget fluctuations. Reduced revenue, project delays, uncertain order book. Diversify revenue sources, explore private sector opportunities, monitor government policies and budget allocations.
Competition Intense competition from domestic and international players BHEL faces stiff competition in the power and equipment market, impacting market share and pricing power. Lower margins, lost market share, reduced growth potential. Analyze competitor strengths and weaknesses, focus on innovation and technological differentiation, build competitive advantages.
Technological Disruptions Rapid advancements in renewable energy technologies BHEL’s traditional business model could be challenged by new technologies, leading to obsolescence and lost market share. Reduced demand for traditional equipment, need for costly technological upgrades. Invest in R&D for new technologies, adapt product offerings, partner with technology leaders, focus on renewable energy solutions.
Regulatory Environment Changes in government policies and regulations Regulatory changes can significantly impact BHEL’s operations, profitability, and compliance costs. Increased costs, project delays, uncertainty in business environment. Stay informed about regulatory changes, assess potential impact on BHEL, consider alternative investment options with less regulatory risk.
Other Risks Geopolitical instability, global economic downturn, supply chain disruptions External factors can negatively impact BHEL’s business operations and investor confidence. Portfolio diversification, risk management strategies, stay informed about global events.
Corporate governance concerns Past instances of governance issues can raise concerns about transparency and management practices. Reduced investor confidence, potential legal or financial repercussions. Evaluate governance practices, monitor news and regulatory actions, consider alternative investments with strong governance.

BHEL Competitors

Category Competitor Strengths Weaknesses
Power Generation Equipment Larsen & Toubro (L&T) Strong brand recognition, diversified product portfolio, presence in global markets High reliance on fossil fuel technologies, limited focus on renewables.
Siemens Global leadership in power generation technology, strong R&D capabilities, diversified product portfolio High dependence on international markets, complex organizational structure.
ABB Strong presence in automation and digital solutions, established customer base, global reach Limited focus on heavy equipment manufacturing, less brand recognition in power generation.
GE Power Extensive experience in gas turbine technology, strong presence in services and maintenance High debt burden, potential for restructuring, exposure to market fluctuations.
Doosan Heavy Industries Competitive pricing, focus on emerging markets, strong track record in boiler manufacturing Limited presence in advanced technologies, less brand recognition in international markets.
Transmission & Distribution Crompton Greaves (CG Power) Strong domestic market presence, diversified product portfolio, focus on smart grid solutions High debt burden, limited global reach, dependence on government contracts.
Schneider Electric Global leader in electrical equipment, strong R&D capabilities, focus on energy efficiency solutions Limited presence in heavy equipment manufacturing, less focus on Indian market.
ABB Established presence in transmission and distribution solutions, expertise in automation and digitalization High reliance on international markets, competition from local players in India.
Siemens Strong brand recognition, presence in advanced grid technologies, global reach Complex organizational structure, high cost of products and services.
Toshiba Strong presence in power electronics and grid automation solutions, focus on smart grid technology Limited presence in heavy equipment manufacturing, less brand recognition in India.
Industrial Equipment Thermax Strong presence in boilers and heat exchangers, focus on energy efficiency solutions, diversified product portfolio Limited global reach, less brand recognition in certain segments.
Alfa Laval Global leader in separation technology, strong presence in process industries, focus on innovation Limited presence in heavy equipment manufacturing, less focus on Indian market.
SPX Flow Strong presence in pumps and compressors, focus on industrial applications, global reach High reliance on international markets, competition from local players in India.
Weir Group Expertise in pumps and valves, strong presence in oil and gas industry, global reach Limited focus on certain industrial segments, high cost of products and services.
Babcock International Extensive experience in boiler technology, strong presence in Europe and Middle East Limited presence in India, high reliance on fossil fuel technologies.

BHEL Share Price FAQs

  • Q: What has been BHEL’s historical share price range?

  • A: In the past five years (all-time range), BHEL’s share price has fluctuated between ₹5.49 and ₹390.69.

  • Q: Is BHEL a good investment right now?

  • A: This depends on your individual investment goals and risk tolerance. BHEL offers potential for long-term growth but also carries risks like high debt and competition. It’s crucial to conduct thorough research, analyze your financial situation, and consult a financial advisor before making any investment decisions.

  • Q: What is BHEL’s current dividend yield?

  • A: BHEL’s current dividend yield is around 0.22% (based on the annual dividend and current share price).

  • Q: Has BHEL ever undergone a stock split? If so, when and how?

  • A: Yes, BHEL has undergone three stock splits in the past, all in the form of a 1:5 split.

  • Q: What are some reliable sources for BHEL’s share price information?

  • A: You can find detailed information on financial websites like Moneycontrol, NSE India, and BSE India. Additionally, BHEL’s website provides information about its financial performance, investor relations, and share price history.

  • Q: Where can I learn more about BHEL’s future outlook?

  • A: I can share some insights on potential scenarios for BHEL’s future based on various factors like government policies, technological advancements, and financial performance. Just ask a specific question, and I’ll do my best to provide a comprehensive analysis.

DISCLAIMER: We are not SEBI registered. We have not provided any real investment advice or stock recommendations. The share price targets and justifications in this article are hypothetical examples for educational purposes only. Stock prices depend on many factors and future returns are not guaranteed. Readers should do their own research before investing. Or consult a registered financial advisor for guidance. We do not guarantee any stock performance or returns. Investing in stocks involves risks.

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