BEL shares hit record high on March quarter earnings; here are fresh price targets

Shares of Bharat Electronics Ltd (BEL) hit their record high on Wednesday powered by a rally post March 2025 quarter and fiscal 2025 earnings.  BEL stock rose 4.45% to a high of Rs 379.90. Market cap of the firm stood at Rs 2.76 lakh crore. BEL stock has clocked multibagger returns of 253% in two years and 383% in three years. 

In terms of technicals, the relative strength index (RSI) of BEL stock stands at 80.3, signaling it's trading in the overbought zone. BEL shares are trading higher than the  5 day, 10 day, 20 day, 30 day, 50 day, 100 day, 150 day  and 200 day moving averages. 

The rally in the BEL stock came after brokerage Nuvama retained its ‘Buy’ rating and hiked 
its target price to Rs 430 from Rs 385. 

Nuvama highlighted that BEL's margins for Q4 climbed to 30.6%, up from 26.7% quarter-over-quarter, exceeding the market's expectation of 24.7%. The management has reaffirmed its guidance for a 15% revenue growth and a 27% operating profit margin, showcasing their ongoing optimism.

The margin performance for BEL is clearly evolving, as noted by Nuvama Institutional Equities, which has maintained its 'Buy' rating on the stock. They regard BEL as one of their top picks in the sector, emphasizing that the consistent outperformance in operating profit margins relative to market expectations is significantly undervalued.

"Higher localization content, favourable product mix and operational efficiencies may drive growth. We are revising FY26E EPS by 4 per cent assigning 45x PE (earlier 40x) to a target of Rs 430 (earlier Rs 385)," it said.

Motilal Oswal said BEL's Q4 results came ahead of the brokerage's estimates on EBITDA and PAT level, while the revenue growth of 7 per cent YoY was broadly in line with estimate. 

"We increase our estimates on a better-than-expected margin profile and slightly lower other income. We revise our target to Rs 410 on 40x March 2027. We increase our valuation multiple to 40x from 36x earlier on a strong prospect pipeline for BEL. Reiterate BUY rating," it said.

Q4 earnings 

BEL announced a 18% YoY increase in net profit to Rs 2,127 crore in the last quarter compared with Rs 1,797 crore a year ago. Revenue from operations climbed 7% to Rs 9,150 crore against from Rs 8,564 crore in the same period last year.

Total income climbed to Rs 9,344.23 crores in the March 2025 quarter from Rs 8,789.51 crore in the year-ago period.

Bharat Electronics manufactures and supplies electronic equipment and systems to defence sector.