BHEL Share Price Target 2025: What to Expect
Bharat Heavy Electricals Limited (BHEL), one of India’s leading public sector companies, has a prominent presence in designing, engineering, and manufacturing equipment for various sectors like power, mining, and renewable energy. With its long history and vast expertise, BHEL remains a significant player on the National Stock Exchange (NSE). Let’s take a closer look at BHEL’s stock performance and predictions for 2025.
Overview of BHEL
Founded in 1956, BHEL operates under the administrative control of the Ministry of Coal. The company is a major contributor to India’s energy and engineering sector, playing a key role in the development of power projects and large-scale infrastructure.
Key facts:
- Headquarters: Neyveli, Tamil Nadu
- Core operations: Power projects, Mining, and Engineering
- Recent orders: Rs 19,422 crores for ultra-supercritical units of 800 MW
BHEL’s Financial Performance
Before predicting the future, let’s understand BHEL’s recent financial performance:
- Revenue (2023): 233.65 Billion INR (+10.15% YOY)
- Net Income: 4.77 Billion INR (+7.03% YOY)
- EBITDA: 2.28 Billion INR (-63.38%)
- Net Profit Margin: 2.04%
While BHEL has shown positive growth in revenue, its EBITDA and profit margins have witnessed some challenges. However, the company’s order book remains robust, signaling a positive outlook.
BHEL Share Price Growth
In recent years, BHEL has seen remarkable growth in its stock price, especially since 2019. The company’s stock has increased by over 259% since February 2019 and 121.72% in 2023 alone.
Why BHEL Could Perform Well in 2025
Several factors indicate that BHEL’s share price could see continued growth:
- Energy Demand Growth: India’s energy demand is projected to increase by 8-10% from FY 2023 to FY 2026. This demand surge could boost BHEL’s revenue as it takes on more orders in the power sector.
- Recent Contracts: BHEL has secured multiple large orders, such as the Rs 19,422 crore contract from NLC India and another order worth Rs 15,000 crores.
- Renewable Energy Shift: BHEL is transitioning towards renewable energy, positioning itself to benefit from India’s green energy push.
BHEL Share Price Target 2025 (Chart)
| Month (2025) | Maximum Price | Minimum Price |
|---|---|---|
| January | Rs 273.93 | Rs 242.00 |
| February | Rs 272.34 | Rs 245.78 |
| March | Rs 275.16 | Rs 250.36 |
| April | Rs 277.20 | Rs 252.26 |
| May | Rs 287.90 | Rs 255.74 |
| June | Rs 289.10 | Rs 257.36 |
| July | Rs 293.57 | Rs 258.55 |
| August | Rs 291.09 | Rs 260.56 |
| September | Rs 294.45 | Rs 262.83 |
| October | Rs 299.98 | Rs 263.21 |
| November | Rs 297.67 | Rs 264.35 |
| December | Rs 298.86 | Rs 265.46 |
Note:- Expert advice is recommended before making investment decisions.
Key Points to Consider Before Investing in BHEL
While BHEL has a strong presence and is backed by government contracts, here are a few things to keep in mind:
- Slow Sales Growth: BHEL’s sales have been impacted in the last five years, with a sales growth rate of -11.11%.
- Low Return on Investment: The return on investment for the last five years has been negative, at -1.53%.
- Operational Challenges: Despite growth in orders, BHEL’s revenue growth over the last three years has been slow, at 2.88%. The company also reported negative cash flow from operations in recent years.
Conclusion: Should You Invest in BHEL in 2025?
BHEL has seen significant growth in its stock price over the past few years, and the company’s outlook remains positive with increasing energy demand and strong order pipelines. With targets for 2025 ranging between Rs 242 and Rs 299, BHEL could be a good long-term investment. However, given some financial challenges and slow growth in recent years, it’s important to carefully assess the stock and consult an expert before making any commitments.