Advertisement

  • News
  • Columns
  • Interviews
  • BW Communities
  • Events
  • BW TV
  • Subscribe to Print
BW Businessworld

BHEL At 2008 Lows; Contrarians Watching?

Photo Credit :

Shares in power equipment maker, Bharat Heavy Electricals Ltd, are down 2.4 per cent at Rs 223.95, trading close to its 2008 lows on concerns of drying order book and increasing competition. The brokerage community is significantly negative on the stock with 24 sell or underperform ratings compared to 7 buy or outperform, as per I/B/E/S estimates.

Its 14-day relative strength index is hovering tantalizingly close to established technical analysis benchmarks of being oversold as well. StarMine data puts the intrinsic value of BHEL at Rs 333.50 a piece and predicts the stock should enjoy a price-to- earnings multiple of 12.4 times on 12-month forward earnings basis compared to current 8.6 times.

(Reuters)


Tags assigned to this article:
finance markets bse bhel bharat heavy electricals ltd