Bharat Heavy Electricals Limited (BHEL) AI Stock Analysis

• Market Cap: ₹775.63B
• Dividend Yield: 0.22%
• Average Volume (3M): 292.98K
• Price to Earnings (P/E): 267.6
• Beta (1Y): 1.94
• Revenue Growth: 16.28%
• EPS Growth: N/A
• Country: IN
• Employees: 42,880
• Sector: Industrials
• Sector Strength: 84
• Industry: Industrial - Machinery
• EPS (TTM): -1.30
• Shares Outstanding: 3,482,063,500
• 10 Day Avg. Volume: 359,959
• 30 Day Avg. Volume: 292,980
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: ₹263.00
• Price Target Upside: 17.44% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 5

• Rating: 57 Neutral
• Price Target: ₹248.00 ▲(10.74% Upside)

BHEL's overall stock score is primarily influenced by its financial performance, which shows improvement but is offset by high leverage and inconsistent cash flow. The technical analysis indicates a bearish trend, and the valuation suggests the stock is overvalued, contributing to a lower overall score.

Bharat Heavy Electricals Limited Business Overview & Revenue Model

Company Description

Bharat Heavy Electricals Limited (BHEL) is one of India's largest engineering and manufacturing companies in the energy and infrastructure sectors. Established in 1964, BHEL is primarily engaged in the design, engineering, construction, testing, commissioning, and servicing of a wide range of products and services for the core sectors of the economy, including power, transmission, industry, transportation, renewable energy, oil & gas, and defense. The company's product portfolio includes power plant equipment like turbines, generators, boilers, and other heavy electrical machinery.

How the Company Makes Money

BHEL makes money through multiple revenue streams, primarily from the sale of its engineering products and services. A significant portion of its revenue comes from contracts and projects in the power sector, where it supplies and installs power plant equipment. Additionally, BHEL generates income through its industrial systems and products, which cater to various segments such as transmission, transportation, and renewable energy. The company also earns from after-sales services, including maintenance and upgrades of installed equipment. Strategic partnerships, both domestic and international, also play a role in expanding its market reach and enhancing revenue opportunities.

Bharat Heavy Electricals Limited Financial Statement Overview

Summary

BHEL has shown significant improvement in revenue and profitability, with enhanced cost management leading to better gross and net profit margins. The balance sheet reflects a strong capital base despite a moderate increase in debt levels. Cash flow has improved, but historical inconsistency needs addressing.

Income Statement

BHEL has demonstrated strong revenue growth, with a significant increase in total revenue from 2024 to 2025. The gross profit margin has improved notably, indicating enhanced cost management. The net profit margin has also increased, showing better profitability. However, EBIT and EBITDA margins are moderate, suggesting room for improvement in operating efficiency.

Balance Sheet

The company's balance sheet shows a stable equity ratio, reflecting a strong capital base. The debt-to-equity ratio is moderate, indicating manageable leverage. Return on equity has improved, suggesting efficient use of equity capital. However, there is a need to monitor the total debt levels as they have increased over recent years.

Cash Flow

BHEL's cash flow statement reveals a strong recovery in operating cash flow and a positive free cash flow in 2025, indicating improved liquidity. The free cash flow to net income ratio is healthy, showing effective cash generation relative to profits. However, the historical inconsistency in cash flow generation poses a potential risk that needs addressing.

Breakdown	Mar 2025	Mar 2024	Mar 2022	Mar 2023	Mar 2021
Income Statement
Total Revenue	283.39B	229.21B	201.53B	221.36B	162.96B
Gross Profit	94.94B	61.13B	53.60B	58.36B	44.25B
EBITDA	12.42B	11.34B	10.26B	13.72B	-28.42B
Net Income	5.34B	2.82B	4.46B	4.77B	-26.97B
Balance Sheet
Total Assets	680.83B	590.05B	562.44B	593.70B	552.40B
Cash, Cash Equivalents and Short-Term Investments	76.12B	61.57B	71.44B	69.21B	66.87B
Total Debt	90.15B	88.56B	48.30B	54.54B	49.51B
Total Liabilities	433.61B	345.67B	297.37B	325.42B	292.68B
Stockholders Equity	247.22B	244.39B	265.07B	268.28B	259.84B
Cash Flow
Free Cash Flow	19.10B	-39.45B	4.91B	-9.30B	3.11B
Operating Cash Flow	21.92B	-37.13B	6.60B	-7.42B	5.62B
Investing Cash Flow	-27.31B	13.31B	-11.25B	14.80B	-425.00M
Financing Cash Flow	-8.57B	26.56B	-3.29B	889.60M	-3.96B

Bharat Heavy Electricals Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 223.95
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:BHEL, the sentiment is Negative. The current price of 223.95 is below the 20-day moving average (MA) of 239.07, below the 50-day MA of 249.82, and below the 200-day MA of 229.34, indicating a bearish trend. The MACD of -7.64 indicates Positive momentum. The RSI at 34.91 is Neutral, neither overbought nor oversold. The STOCH value of 9.08 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:BHEL.

Bharat Heavy Electricals Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
THERMAX	73 Outperform	₹392.71B	55.33		0.43%	8.14%	-4.46%
CUMMINSIND	72 Outperform	₹1.04T	48.62		1.36%	20.71%	17.04%
SIEMENS	66 Neutral	₹1.12T	45.55		0.38%	-13.58%	-0.28%
Sector *	64 Neutral	$10.83B	16.63	6.52%	2.06%	2.20%	-16.67%
ABB	61 Neutral	₹1.07T	59.87		0.85%	10.27%	11.90%
ISGEC	60 Neutral	₹76.86B	30.84		0.38%	3.30%	2.27%
BHEL	57 Neutral	₹775.63B	267.63		0.22%	16.28%	―

Bharat Heavy Electricals Limited Corporate Events

BHEL Announces 61st AGM and E-voting Details

Bharat Heavy Electricals Limited announced the publication of an advertisement regarding its 61st Annual General Meeting (AGM) and E-voting information, in compliance with SEBI regulations and the Ministry of Corporate Affairs guidelines. This announcement is part of BHEL’s ongoing efforts to maintain transparency and engage with its stakeholders effectively, reinforcing its commitment to corporate governance and regulatory compliance.