“The absence of such writebacks may impede recovery in profitability from hereon,” cautioned Kotak Institutional Equities. It also highlighted BHEL’s deteriorating situation of cash loss, which is suggestive of the company’s stiff working capital situation.
About 1,922 shares advanced, 1,483 shares declined, and 124 shares remained unchanged on July 5.
Nomura says it is unsure of BHEL’s EBITDA margin and cash-generation prospects and cuts rating from ‘neutral’ to ‘reduce’. While Prabhudas Lilladher has upgraded its rating to ‘reduce’ from ‘sell’, ICICI Securities maintained its ‘buy’ rating.
Bharat Heavy Electricals Ltd has given a return of 2.92 percent over the last 5 years. Thus, considerably underperforming the benchmark Nifty50 index which has given a return of 74.07 percent over the same duration.
The order for the package for Baiji Refinery in Iraq has been placed by Northern Refineries Company (NRC), a National Oil refinery company owned by the Ministry of Oil, Iraq.
Trends on SGX Nifty indicate a positive opening for the broader index in India, with a 22 points gain or 0.19 percent. The Nifty futures were trading around 11,887-level on the Singaporean Exchange.
"Bharat Heavy Electricals Ltd (BHEL) has achieved yet another landmark in the power development programme... by successfully commissioning the second 500-mw thermal unit at Anpara-D thermal power plant (TPP) in Sonbhadra district of Uttar Pradesh," the company said in a statement.
BHEL also bagged orders for two major hydro projects aggregating 564 MW in 2014-15 and has so far commissioned some 400 hydro generating sets in the country, with a cumulative capacity of more than 19,600 MW.
GSECL has recently entrusted BHEL with an order for setting up an 800-mw supercritical coal-based project at Wanakbori in Gujarat on EPC basis.
The unit was commissioned at Dainik Bhaskar Power Ltd's (DBPL) upcoming 2x600 MW thermal power project located at Dhabra in Janjgir Champa district of Chhattisgarh, BHEL said in a statement. This is the second unit of the power project, commissioned by BHEL, it added.
Bharat Heavy Electricals Ltd (BHEL) is an important stock to watch out for in the capital goods space. The company will report its Q3 numbers.
Exports and the rural side of the story are the only positives, says Prabhat Awasthi, Nomura Financial Advisory & Securities. But there is no structural trigger for growth to pick up till the time policy environment revives.
Sudarshan Sukhani of s2analytics.com advised investors to shift from Bharat Earth Movers (BEML) to Larsen and Toubro (L&T) and Bharat Heavy Electricals (BHEL).
Hemant Thukral of Aditya Birla Money is of the view that BHEL and L&T may slip 5-6% in coming one-two trading sessions.
Sudarshan Sukhani, s2analytics.com advises to go long on BHEL and L&T. One can avoid Reliance Infratech.
Siddharth Bhamre of Angel Broking gives his view on market outlook and various stocks. In an interview with CNBC-TV18, Bhamre says that he would have shorted at 6,100 on NIfty but did not do so thinking market would go high. So, shorting opportunity is gone. Right now, shorting may not be a good idea.
Parag Doctor, Keynote Capital is of the view that BHEL has immediate support at Rs 220, below that then downside is there till at least Rs 200-210 kind of levels.
Bharat Heavy Electricals Ltd today said it has inked a five-year pact with global energy major Shell for supply of gas turbine generator packages.
Nomura downgraded Bharat Heavy Electricals Ltd to 'reduce' from 'neutral'
Going by the macro-economic backdrop, Sangeeta Purushottam, Managing Director, Nine Rivers Capital feels it is hard to get very optimistic since many of the macro challenges are likely to remain.
Angel Broking has come out with its earnings snapshot for Q1 FY2013. According to the research firm, the Sensex EPS is expected to improve at a CAGR of 9.4% over FY2012-14E. The outlook for economic growth improving in FY2014 rests on catalysts such as easing inflation and interest rates, corrective fiscal consolidation measures.
Nomura says about 28% of Bharat Heavy Electricals Ltd's order book is at risk of cancellation or deferment due to either non-availability of coal linkage or cancellation of existing linkage, following the coal allocation scam, popularly dubbed Coalgate.
State-owned capital goods major BHEL has reported a growth of 20.80% year-on-year in its net profit of Rs 3,380 crore for the fourth quarter of FY12.
Shares in power equipment maker Bharat Heavy Electricals Ltd and engineering and construction conglomerate Larsen & Toubro dropped amid expectations for weak February industrial output data due on Thursday.
State-run Bharat Heavy Electricals Ltd said on Tuesday its provisional net profit rose 14.3% to Rs 6,870 crore for the just concluded 2011-12 fiscal year.