BHEL shares climbed 17% in a month; here's what analysts have to say

Shares of Bharat Heavy Electricals Ltd (BHEL) extended their upmove for the sixth consecutive session on Thursday. Last checked, the stock was up 0.93 per cent at Rs 228.05. At this price, it has gained 16.77 per cent in the past one month.

The PSU recently informed bourses that it has entered into a Technology Transfer Agreement (TTA) with Bhabha Atomic Research Centre (BARC) to achieve complete indigenous development of alkaline electrolyser systems for hydrogen production.

"The Mixed-Matrix Membrane Diaphragm Technology developed by BARC is an effective replacement of asbestos diaphragm material used in Electrolyser systems. Further, this diaphragm will be a low-cost import substitute for Zirfon which is used in water electrolysers. The Mixed-Matrix Membrane Diaphragm Technology acquired from BARC shall help BHEL to achieve complete indigenous development of alkaline electrolyser systems. This will be a step further in BHEL's contribution to the 'National Green Hydrogen Mission' and contribute to the Government's 'Make in India' initiative," BHEL stated.

On technical setup, support on the counter could be seen at Rs 220, followed by Rs 215 and 210 levels.

"The stock looked interesting on charts for the last 2-3 trading sessions. For BHEL, keep a stop loss at Rs 220 for potential upside targets of Rs 235-240," Sebi-registered analyst Mitesh Panchal told Business Today.

"BHEL has witnessed a decent resurgence in the last couple of sessions, accompanied by positive technical parameters. The zone of 215-210 is likely to cushion any shortcomings, while the next potent resistance is visible around the Rs 245-250 subzone," said Osho Krishan, Senior Analyst – Technical & Derivative Research at Angel One.

Technically, the scrip traded higher than the 5-day, 10-, 20-, 30-, 50-day and 100-day simple moving averages (SMAs) but lower than the 150-day and 200-day SMAs. Its 14-day relative strength index (RSI) came at 66.88. A level below 30 is defined as oversold while a value above 70 is considered overbought.

As per BSE, the stock has a price-to-equity (P/E) ratio of 160.07 against a price-to-book (P/B) value of 3.22. Earnings per share (EPS) stood at 1.42 with a return on equity (RoE) of 2.01. According to Trendlyne data, BHEL has a one-year beta of 2, indicating high volatility.

Around 3.30 lakh shares changed hands on BSE at the time of writing this story today, lower than the two-week average volume of 6.76 lakh shares. Turnover on the counter came at Rs 7.48 crore, commanding a market capitalisation (m-cap) of Rs 79,338.81 crore.

The PSU is one of the largest engineering and manufacturing companies in India engaged in the design, engineering, construction, testing, commissioning and servicing of a wide range of products and services with over 180 product offerings to meet the ever-growing needs of the core sectors of the economy.

As of March 2025, promoters held a 63.17 per cent stake in the state-owned entity.