Buy Bharat Electronics Ltd: VK Sharma

BELStock market analyst VK Sharma maintained ‘Buy’ rating on Bharat Electronics Ltd (BEL) to achieve an intraday target above Rs 1,450.
 
According to Mr. Sharma, investors can buy the stock around Rs 1,380 with a stop loss of Rs 1,350.

If the stock market remains positive, the next intraday target should be above Rs 102.

Shares of the company, on Friday (June 05), closed at Rs 1,389.55, up Rs 74.60, from its last closure of Rs 1,314.95 on the Bombay Stock Exchange (BSE).

Current EPS and P/E of the stock stood at 101.06 & 13.75 respectively. The share price has seen a 52-week high of Rs 1,469 and a low of Rs 545.40 on BSE.

The company has posted a steady growth in its standalone net profit for the three month period ended March 31, 2009.

During the fourth quarter, the company’s profit surged 10.82% to Rs 5,594.38 million as compared to Rs 5,048.30 million during the same quarter of the previous year.

Net sales during the period increased 19.25% to Rs 27,352.10 million, whereas total income during the period under review surged 17.85% to Rs 27,647.59 million.

In May 2009, Bangalore-headquartered, BEL, which pioneered the manufacture of EVMs (Electronic Voting Machines) in India, has announced that the Indian government has nominated Lt. Gen. (Retd.) G Sridharan, as a part-time non-official Director (Independent Director) on the Company’s Board of Directors on behalf of Dr. S P Parashar, who had resigned from the Board previously.

BEL is an electronics company having nine factories, and few regional offices in India.

It is owned by government of India. It makes advanced electronic products for the Indian Armed Forces.

BEL is one of the eight PSUs under Ministry of Defence, Government Of India. It has even earned the government's Navratna status.