In a sector note, Nirmal Bang said India's defence allocation has been on a steady upward trajectory and is expected to rise further in the upcoming Union Budget 2026.
PL Capital has 'Hold' rating on BEL and BEML and 'Buy' on HAL. It suggested targets of Rs 407 for BEL, Rs 1,982 for BEML and Rs 5,507 for HAL.
The filing noted that Paras Defence intends to offload its 58.02 per cent equity stake in Ayatti, which comprises 15,20,000 equity shares of face value of Rs 10 each.
BEML share price target: Elara trimmed its target price to Rs 2,700, valuing the stock at 37 times September FY27 estimated earnings, citing a slight delay in the execution of the Vande Bharat sleeper train order in FY26.
Shares of PSU major BEML are oversold on charts with RSI at 25.9 indicating there are more sellers than buyers for the stock.
Nirmal Bang suggested price targets of Rs 470 for BEL, Rs 1,774 for BDL and Rs 6,151 for HAL. It viewed Mazagon Dock at Rs 3,515, BEML at Rs 2,610, Astra Microwave at Rs 1,234 and Data Patterns at Rs 3,653.
Adjusting for the stock split, BEML shares were trading at Rs 2,187.95 apiece, down 0.55 per cent. BEML said the stock split has been executed in line with DIPAM’s capital restructuring guidelines
BEML operates across three core segments: Defence & Aerospace, Mining & Construction, and Rail & Metro. The stock delivered an 18-year technical breakout in 2023.
An analyst from Choice Broking said that BHEL is trading below its 100-DMA on the daily charts, which raises some caution regarding the strength of the ongoing uptrend.
From a technical standpoint, the counter is trading above the 5-day, 10-, 20-, 30-, 50-, 100-, 150-day and 200-day simple moving averages (SMAs). Its 14-day relative strength index (RSI) came at 58.60. A level below 30 is defined as oversold while a value above 70 is considered overbought.
Earlier, on September 26, BEML signed an agreement with Bharat Forge Limited and Data Patterns (India) Limited to jointly support the Advanced Medium Combat Aircraft (AMCA) programme.
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