BSE:500049

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Executive Summary

Bharat Electronics Limited, together with its subsidiaries, designs, manufactures, supplies, and exports electronic equipment and systems for the defense and civilian markets in India and internationally. More Details


Snowflake Analysis

Flawless balance sheet established dividend payer.


Similar Companies

Share Price & News

How has Bharat Electronics's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 500049 is not significantly more volatile than the rest of Indian stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: 500049's weekly volatility (5%) has been stable over the past year.


Market Performance


7 Day Return

4.0%

500049

2.9%

IN Aerospace & Defense

3.0%

IN Market


1 Year Return

12.7%

500049

10.5%

IN Aerospace & Defense

13.5%

IN Market

Return vs Industry: 500049 exceeded the Indian Aerospace & Defense industry which returned 10.5% over the past year.

Return vs Market: 500049 matched the Indian Market which returned 13.5% over the past year.


Shareholder returns

500049IndustryMarket
7 Day4.0%2.9%3.0%
30 Day24.4%25.0%12.9%
90 Day8.7%-2.0%16.1%
1 Year16.1%12.7%15.4%10.5%15.6%13.5%
3 Year-32.3%-37.5%27.3%23.9%10.0%4.6%
5 Year20.8%8.5%7.2%3.5%65.2%52.7%

Long-Term Price Volatility Vs. Market

How volatile is Bharat Electronics's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Bharat Electronics undervalued compared to its fair value and its price relative to the market?

16.36x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: 500049 (₹115.6) is trading above our estimate of fair value (₹58.44)

Significantly Below Fair Value: 500049 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 500049's PE Ratio (16.4x) is in line with the IN Aerospace & Defense industry average.

PE vs Market: 500049 is good value based on its PE Ratio (16.4x) compared to the Indian market (17.5x).


Price to Earnings Growth Ratio

PEG Ratio: 500049 is poor value based on its PEG Ratio (2.2x)


Price to Book Ratio

PB vs Industry: 500049 is overvalued based on its PB Ratio (2.8x) compared to the IN Aerospace & Defense industry average (2x).


Next Steps

Future Growth

How is Bharat Electronics forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?

7.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 500049's forecast earnings growth (7.3% per year) is above the savings rate (7.2%).

Earnings vs Market: 500049's earnings (7.3% per year) are forecast to grow slower than the Indian market (24.5% per year).

High Growth Earnings: 500049's earnings are forecast to grow, but not significantly.

Revenue vs Market: 500049's revenue (7.4% per year) is forecast to grow slower than the Indian market (11.6% per year).

High Growth Revenue: 500049's revenue (7.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 500049's Return on Equity is forecast to be low in 3 years time (17.3%).


Next Steps

Past Performance

How has Bharat Electronics performed over the past 5 years?

4.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 500049 has high quality earnings.

Growing Profit Margin: 500049's current net profit margins (13.3%) are lower than last year (14.5%).


Past Earnings Growth Analysis

Earnings Trend: 500049's earnings have grown by 4.9% per year over the past 5 years.

Accelerating Growth: 500049's earnings growth over the past year (3.3%) is below its 5-year average (4.9% per year).

Earnings vs Industry: 500049 earnings growth over the past year (3.3%) exceeded the Aerospace & Defense industry -20.2%.


Return on Equity

High ROE: 500049's Return on Equity (17%) is considered low.


Next Steps

Financial Health

How is Bharat Electronics's financial position?


Financial Position Analysis

Short Term Liabilities: 500049's short term assets (₹195.9B) exceed its short term liabilities (₹134.9B).

Long Term Liabilities: 500049's short term assets (₹195.9B) exceed its long term liabilities (₹15.4B).


Debt to Equity History and Analysis

Debt Level: 500049 is debt free.

Reducing Debt: 500049 has no debt compared to 5 years ago when its debt to equity ratio was 0.3%.

Debt Coverage: 500049 has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: 500049 has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


Next Steps

Dividend

What is Bharat Electronics's current dividend yield, its reliability and sustainability?

2.42%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 500049's dividend (2.42%) is higher than the bottom 25% of dividend payers in the Indian market (0.5%).

High Dividend: 500049's dividend (2.42%) is in the top 25% of dividend payers in the Indian market (2.02%)


Stability and Growth of Payments

Stable Dividend: 500049's dividend payments have been volatile in the past 10 years.

Growing Dividend: 500049's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (19.8%), 500049's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: 500049's dividends in 3 years are forecast to be well covered by earnings (38.1% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

1.5yrs

Average management tenure


CEO

M. Gowtama (59 yo)

4.08yrs

Tenure

₹7,609,051

Compensation

Mr. M. V. Gowtama has been the Chairman of the Board, Managing Director and Whole Time Director at Bharat Electronics Limited since November 8, 2016. Mr. Gowtama served as General Manager of Bengaluru Unit...


CEO Compensation Analysis

Compensation vs Market: M.'s total compensation ($USD103.15K) is below average for companies of similar size in the Indian market ($USD773.55K).

Compensation vs Earnings: M.'s compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
M. Gowtama
Chairman & MD4.08yrs₹7.61m0.000050%
₹ 140.8k
Anandi Ramalingam
Director of Marketing & Whole Time Director4.25yrs₹7.14m0.000050%
₹ 140.8k
K. Shivakumaran
Director of Human Resources & Whole Time Director1.5yrs₹4.97m0.000050%
₹ 140.8k
Shikha Gupta
Whole Time Director & Director of Other Units1yr₹3.03mno data
Vinay Katyal
Director of Bangalore Complex & Whole Time Director2.08yrs₹6.04m0.000050%
₹ 140.8k
Dinesh Batra
CFO, Director of Finance & Additional Whole Time Director0.33yrno data0.000050%
₹ 140.8k
S. Sreenivas
Company Secretary & Compliance Officerno data₹1.38m0.000050%
₹ 140.8k
N. A. Murthy
Chief Regional Manager of New Yorkno data₹2.57mno data
M. Rajasekhar
Director of R&D and Whole time Director0.25yrno data0.000050%
₹ 140.8k
V. Kumar
Chief Technical Officer of Communications - Corporate Officeno datano datano data
Shrikant Walgad
Chief Vigilance Officerno datano datano data
Amrendra Singh
Chief Technology Officer of EO&L - Corporate Officeno datano datano data

1.5yrs

Average Tenure

58.5yo

Average Age

Experienced Management: 500049's management team is not considered experienced ( 1.5 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
M. Gowtama
Chairman & MD4.08yrs₹7.61m0.000050%
₹ 140.8k
Anandi Ramalingam
Director of Marketing & Whole Time Director4.25yrs₹7.14m0.000050%
₹ 140.8k
K. Shivakumaran
Director of Human Resources & Whole Time Director1.5yrs₹4.97m0.000050%
₹ 140.8k
Shikha Gupta
Whole Time Director & Director of Other Units1yr₹3.03mno data
Vinay Katyal
Director of Bangalore Complex & Whole Time Director2.08yrs₹6.04m0.000050%
₹ 140.8k
Dinesh Batra
CFO, Director of Finance & Additional Whole Time Director0.33yrno data0.000050%
₹ 140.8k
M. Rajasekhar
Director of R&D and Whole time Director0.25yrno data0.000050%
₹ 140.8k
J. Manjula
Part-Time Government Non-Executive Director2.67yrsno datano data
Sunil Kohli
Non-official Independent Director1.42yrs₹240.00kno data
Anurag Bajpai
Part-time Official Director0.17yrno datano data

1.5yrs

Average Tenure

58yo

Average Age

Experienced Board: 500049's board of directors are not considered experienced ( 1.5 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Bharat Electronics Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Bharat Electronics Limited
  • Ticker: 500049
  • Exchange: BSE
  • Founded: 1954
  • Industry: Aerospace and Defense
  • Sector: Capital Goods
  • Market Cap: ₹281.670b
  • Shares outstanding: 2.44b
  • Website: https://www.bel-india.in

Location

  • Bharat Electronics Limited
  • Outer Ring Road
  • Nagavara
  • Bengaluru
  • Karnataka
  • 560045
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
500049BSE (Mumbai Stock Exchange)YesEquity SharesININRAug 1999
BELNSEI (National Stock Exchange of India)YesEquity SharesININRAug 1999

Biography

Bharat Electronics Limited, together with its subsidiaries, designs, manufactures, supplies, and exports electronic equipment and systems for the defense and civilian markets in India and internationally. ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/12/05 12:12
End of Day Share Price2020/12/04 00:00
Earnings2020/09/30
Annual Earnings2020/03/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.