Bharat Electronics (BEL), a zero-debt defence PSU giant, touched new all-time high on Monday, as the stock price entered Sensex benchmark due to BSE rejig that came into effect from June 23 onward. Riding on the bulls, BEL's market value also crossed Rs 3 lakh crore mark.
BEL Share Price:
At the time of writing, BEL stock performed at Rs 413.90 apiece on BSE, up by 1.43% with market cap of Rs 3,02,551.75 crore. In the early trade, the stock rallied to hit new all-time high of Rs 416.95 apiece.
With this, BEL has emerged among top performers of 2025 on BSE and NSE. The stock gained by nearly 41% year-to-date. Its debt-to-equity ratio is zero, making the company debt-free. While its price-to-equity ratio is at 61.05x, and return on equity is at 28.55%.
BEL Sensex Rejig:
As part of latest reconstitution of BSE indices, with effect from June 23, BEL is now part of benchmark Sensex. As per brokerage Nuvama Alternative has predicted an inflow of $378 million in BEL due to the rejig.
BEL Order Book:
The latest performance also comes after the company bagged huge order last week. On June 20, BEL secured additional orders worth Rs.585 Crore since the last disclosure on 5th June 2025. Major orders received include fire control and sighting system for missiles, communication equipment, jammers, spares, services etc.
BEL Corporate Actions:
Dividends: The company has a strong record of dividend payment. Since August 2003, BEL delivered at least 50 dividends, as per Trendlyne data. In the last 12 months, the payout was to the tune of Rs 2.30 per share. Its current dividend yield is at 0.56%.
Stock Split: BEL stock has been split only once and that was in March 2017. With effect from March 16, 2017, BEL stock split into 1:10 ratio, meaning, the face value of Rs 10 was cut to Re 1.
Bonus Issue: Apart from healthy dividends, BEL is also among top bonus issuing company. In past 10 years, BEL distributed three bonus. The first bonus issue was of 2:1 in September 2015, followed by 1:10 bonus in September 2017, and last one was of 2:1 ratio in September 2022.
Sharekhan Recommends BUY On BEL:
As per analysts at Sharekhan, Indian defence forces are set to make emergency purchases worth Rs 40,000 crore to enhance combat readiness. The initiative focuses on acquiring key systems being prioritised under emergency powers, including surveillance drones, kamikaze drones, missiles, and various types of ammunition. The management confirmed on the conference call that talks are on with the armed forces for emergency procurement orders for arms, ammunitions and a few critical systems. There are 8-10 different line items which BEL would be bidding for.
At present, India is allocating around 2 per cent of its GDP (gross domestic product) to defence spending. After Operation Sindoor, the government announced emergency procurements worth Rs 40,000 crore. As a result, the defence budget may move closer to 2.5% of GDP enabling the defence PSU's to gain more orders.
On BEL's valuation, the analysts note, "The company's future order pipeline is also promising as orders worth Rs. 65,000 crore (including QRSAM) are to be awarded in the next two years. We believe that BEL would play a significant role in successfully implementing the government's Make in India and AtmaNirbhar Bharat initiatives, as it is a key defence and aerospace player. After the strong performance in this quarter, we maintain our PT of Rs. 445 to 44x of FY2027 EPS."
BEL's order book currently stands at Rs 71650 crore representing a 2.5x of FY25 sales. BEL has guided for order inflows of Rs. 27,000 crore for FY2026 excluding QRSAM orders. Cumulative order inflows for FY2026 are expected to be at ~Rs. 60,000 crore (including QRSAM orders). BEL stands to benefit from growing defence spends in India, the structural trend of indigenisation and export opportunities.
About BEL:
Bharat Electronics Limited (BEL) is a Navratna PSU under the Ministry of Defence, Government of India. It manufactures state-of-the-art electronic products and systems for the Army, Navy and the Air Force.
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