Bharat Electronics shares: Brokerages cut target prices — should you buy, sell or hold?
Brokerage firms continue to remain positive on Bharat Electronics, but some have trimmed their targets on the state-run defence major but have trimmed their target prices
- May 21, 2026,
- Updated May 21, 2026 1:14 PM IST
Bharat Electronics shares target price: A host of brokerage firms continue to remain positive on Bharat Electronics Ltd (BEL), but some have trimmed their targets on the state-run defence major but have trimmed their target prices by up to 10 per cent on the back of likely delays.
BEL reported a 4.7 per cent jump in the net profit on a year-on-year (YoY) basis to Rs 2,203.16 crore, while its revenue increased 11.6 per cent YoY to Rs 10,177.17 crore with order book coming in at Rs 73,882 crore as of April 1, 2026. The company announced a final dividend of Rs 0.55 per share. Ebitda rose 3 per cent YoY to Rs 2,876 crore, while margins shrank to 28.3 per cent.
Shares of Bharat Electronics rose more than 3 per cent to Rs 426.10 on Thursday, commanding a total market capitalization of Rs 3.1 lakh crore. However, the stock has tumbled nearly 10 per cent from its 52-week high at Rs 473.25 hit in March 2026. However the stock remained subdued in the short-term.
According to brokerages, Bharat Electronics delivered a strong operational performance with healthy margins, robust execution and order inflows exceeding guidance. Analysts remain optimistic on its medium-term growth, supported by a strong defence order pipeline, rising indigenisation, export opportunities and margin sustainability, despite some delays in key project awards.
Bharat Electronics’ inline performance driven by strong execution and better-than-expected margins. Its order inflows for FY26 stood at Rs 30,000 crore, ahead of its own guidance. Margin performance for the year remained strong at 29%; however, NWC increased on lower customer advances and higher receivables, said Motilal Oswal Financial Services, which has trimmed its target to Rs 510.
"It expects the QRSAM order to be awarded by Jun-Jul’26. BHE remains a key beneficiary of large platform orders across Army, Navy, and Airforce, and with a strong addressable market, BHE can sustain revenue growth of 15 per cent over the next few years. With improved indigenization levels and operating leverage benefits, we expect BEL's strong margin performance to continue," it said with a 'buy' tag.
Nirmal Bang Institutional Equities remains positive on the company given its position as the key integrator across India’s defence electronics ecosystem and its strong participation in multiple strategic defence platforms. It factors in revenue growth of 19 per cent and 21 per cent for FY27E and FY28E, respectively, while building in margins in excess of 28 per cent in line with the guidance
Revenue, Ebidta and PAT are expected to clock a CAGR of 20 per cent, 18 per cent, and 19 per cent, respectively, over the forecast period, supported by strong execution and improving scale. Despite the rich valuation, we maintain a 'buy' rating, valuing the stock at 42 times March 2028E EPS to arrive at a target price of Rs 497," it added.
"Our conviction strengthens around BEL's medium-term positioning, with a strong order pipeline across QRSAM, P-75(I), next-gen corvettes, EW systems and other large programmes, alongside a steady cadence of large-ticket opportunities every few years. The ongoing shift towards higher value-add should support margin sustainability rather than dilution," Choice Institutional Equities.
Beyond this, the key monitorable is execution conversion, which should gradually improve revenue visibility and operating leverage, it said. Choice has a positive stance on BEL underpinned by strong long-term growth visibility, supported by a robust order book and a healthy pipeline, giving it a 'buy' but trimmed its target price to Rs 500.
BEL’s Q4 Ebitda and margins outperformed expectations. BEL’s order book stood at Rs 73,900 crore and management guides for 15 per cent revenue growth, with 28 per cent margins and expected FY27 order inflow of Rs 55,000 crore, said ICICI Securities.
"BEL will likely remain an overall beneficiary of defence spending, as it offers solutions to other primary integrators apart from trying to evolve into a lead integrator itself. Our positive stance on BEL remains intact," it added with an 'add' rating with a trimmed target price of Rs 470.
Elara Capital reiterated an 'accumulate' due to healthy sales growth , continuous margin expansion , strong order inflow potential in the next two years, battle -tested product portfolio and unexplored export opportunities but it cut its target price of Rs 465 from Rs 485 earlier it trimmed our sales due to delay in receipt of QRSAM from earlier Q4FY26 to potentially in June-July 2026.
However, PL Capital has upgraded its rating to 'accumulate' from 'reduce' on the back of rising indigenisation (80–85 per cent), growing export opportunities and increasing non-defence contribution (15 per cent) are expected to support medium-term growth. It has increased its target price of Rs 453 from Rs 411 earlier.
Bharat Electronics shares target price: A host of brokerage firms continue to remain positive on Bharat Electronics Ltd (BEL), but some have trimmed their targets on the state-run defence major but have trimmed their target prices by up to 10 per cent on the back of likely delays.
BEL reported a 4.7 per cent jump in the net profit on a year-on-year (YoY) basis to Rs 2,203.16 crore, while its revenue increased 11.6 per cent YoY to Rs 10,177.17 crore with order book coming in at Rs 73,882 crore as of April 1, 2026. The company announced a final dividend of Rs 0.55 per share. Ebitda rose 3 per cent YoY to Rs 2,876 crore, while margins shrank to 28.3 per cent.
Shares of Bharat Electronics rose more than 3 per cent to Rs 426.10 on Thursday, commanding a total market capitalization of Rs 3.1 lakh crore. However, the stock has tumbled nearly 10 per cent from its 52-week high at Rs 473.25 hit in March 2026. However the stock remained subdued in the short-term.
According to brokerages, Bharat Electronics delivered a strong operational performance with healthy margins, robust execution and order inflows exceeding guidance. Analysts remain optimistic on its medium-term growth, supported by a strong defence order pipeline, rising indigenisation, export opportunities and margin sustainability, despite some delays in key project awards.
Bharat Electronics’ inline performance driven by strong execution and better-than-expected margins. Its order inflows for FY26 stood at Rs 30,000 crore, ahead of its own guidance. Margin performance for the year remained strong at 29%; however, NWC increased on lower customer advances and higher receivables, said Motilal Oswal Financial Services, which has trimmed its target to Rs 510.
"It expects the QRSAM order to be awarded by Jun-Jul’26. BHE remains a key beneficiary of large platform orders across Army, Navy, and Airforce, and with a strong addressable market, BHE can sustain revenue growth of 15 per cent over the next few years. With improved indigenization levels and operating leverage benefits, we expect BEL's strong margin performance to continue," it said with a 'buy' tag.
Nirmal Bang Institutional Equities remains positive on the company given its position as the key integrator across India’s defence electronics ecosystem and its strong participation in multiple strategic defence platforms. It factors in revenue growth of 19 per cent and 21 per cent for FY27E and FY28E, respectively, while building in margins in excess of 28 per cent in line with the guidance
Revenue, Ebidta and PAT are expected to clock a CAGR of 20 per cent, 18 per cent, and 19 per cent, respectively, over the forecast period, supported by strong execution and improving scale. Despite the rich valuation, we maintain a 'buy' rating, valuing the stock at 42 times March 2028E EPS to arrive at a target price of Rs 497," it added.
"Our conviction strengthens around BEL's medium-term positioning, with a strong order pipeline across QRSAM, P-75(I), next-gen corvettes, EW systems and other large programmes, alongside a steady cadence of large-ticket opportunities every few years. The ongoing shift towards higher value-add should support margin sustainability rather than dilution," Choice Institutional Equities.
Beyond this, the key monitorable is execution conversion, which should gradually improve revenue visibility and operating leverage, it said. Choice has a positive stance on BEL underpinned by strong long-term growth visibility, supported by a robust order book and a healthy pipeline, giving it a 'buy' but trimmed its target price to Rs 500.
BEL’s Q4 Ebitda and margins outperformed expectations. BEL’s order book stood at Rs 73,900 crore and management guides for 15 per cent revenue growth, with 28 per cent margins and expected FY27 order inflow of Rs 55,000 crore, said ICICI Securities.
"BEL will likely remain an overall beneficiary of defence spending, as it offers solutions to other primary integrators apart from trying to evolve into a lead integrator itself. Our positive stance on BEL remains intact," it added with an 'add' rating with a trimmed target price of Rs 470.
Elara Capital reiterated an 'accumulate' due to healthy sales growth , continuous margin expansion , strong order inflow potential in the next two years, battle -tested product portfolio and unexplored export opportunities but it cut its target price of Rs 465 from Rs 485 earlier it trimmed our sales due to delay in receipt of QRSAM from earlier Q4FY26 to potentially in June-July 2026.
However, PL Capital has upgraded its rating to 'accumulate' from 'reduce' on the back of rising indigenisation (80–85 per cent), growing export opportunities and increasing non-defence contribution (15 per cent) are expected to support medium-term growth. It has increased its target price of Rs 453 from Rs 411 earlier.