117,718% Gains, 5 Bonus, 1:10 Split: Defence PSU Stock To Pay 80% Dividend, Q4 PAT Up 30%; 20 Experts Say BUY

Crorepati making stock, Bharat Electronics, a Navratna Defence PSU, reported double-digit growth of 30% in its consolidated net profit to Rs 1,797 crore for the quarter ending, March 31, 2024, compared to PAT of Rs 1,382 crore in the same quarter a year ago. Its consolidated revenue jumped by 32% to Rs 8,564 crore in Q4FY24, as against Rs 6,479 crore a year ago corresponding period. The leading defence player has also declared dividend rewards to its shareholders.

BEL Earnings:

Q4 FY24 consolidated PAT stood at Rs 1,796.67 crore, as against Rs 1,382.01 crore in Q4FY23 and Rs 860.26 crore in Q3FY24. Consolidated revenue stood at Rs 8,564.08 crore, as against Rs 6479.12 crore in Q4FY23, and Rs 4,162.16 crore in Q3FY24.

FY24 revenue came in at Rs 20,268.24 crore versus Rs 17.734.44 crore in FY23. While PAT stood at Rs 3,985.24 crore in FY24, compared to Rs 2,986.24 crore in FY23.

The defence PSU has achieved a Turnover of Rs 19,819.93 Crore, registering a growth of 14.35% during FY 2023-24 over the
A turnover of Rs 17,333.37 Crore was recorded during the previous year.

The order book position of the company as of 1st April 2024 stood at Rs 75,934 crore.

BEL Dividend:

Also, the company's board has recommended a Final Dividend of Rs.0.80 per Equity share (having a face value of Rs.1/- each) and the same is subject to the approval by the Shareholders in the ensuing Annual General Meeting of the Company.

BEL has delivered hefty dividends in 2024 so far. BEL has turned ex-dividend in March and February of 2024, for a dividend payout of 70% each valuing Rs 0.70 per share each, totaling 140% or Rs 1.4 per share so far in the current year.

BEL Share Price:

On NSE, BEL shares ended at Rs 259.20 apiece after the market hours of a special trading session on Saturday. Its market cap stood at Rs 1,89,469.47 crore. In the trading hours, the stock touched a new 52-week high of Rs 260.60 apiece.

YTD, BEL shares are up by 40%, while in a year, the gain is around 135%. While in 5-years, the stock has zoomed by 596%. BEL's all-time gains are around a breathtaking 117,718.18%. The stock was merely at Rs 0.22 on January 1, 1999.

As per the Trendlyne data, the consensus recommendation from 26 analysts for Bharat Electronics Ltd. is BUY. Of the total analysts, 17 of them have recommended 'STRONG BUY' on BEL, while 3 have suggested 'BUY', and 3 have recommended 'HOLD'. The remaining 3 analysts have suggested selling.

Also, Nomura has initiated coverage on BEL shares and recommended BUY for a target price of Rs 300. The rationale behind Nomura's massive target on BEL is due to the company's increased visibility on order inflows which is likely to provide margin delivery and expansion in return ratios.

While the short-term target could be Rs 280. Macquarie has initiated coverage on BEL. The global brokerage has given an 'Outperform' rating, while the target price is set at Rs 280 apiece

BEL Stock Split:

BEL has carried only one stock split so far. It was in 2017, when 1 BEL share split into ten smaller shares effective from March 16. The face value split from Rs 10 to Rs 1.

BEL Bonus Issue:

BEL has paid three bonuses to its shareholders since 2015, in total it distributed 5 bonuses. The first bonus reward of a 2:1 ratio in September 2015, followed by 1:10 and 2:1 bonus issues in September 2017 and 2022 respectively.

Disclaimer: The recommendations made above are by market analysts and are not advised by either the author or Greynium Information Technologies. The author, the brokerage firm nor Greynium would be liable for any losses caused as a result of decisions based on this write-up. Goodreturns. in advises users to consult with certified experts before making any investment decision.