Bharat Dynamics tanks 18% in 2 days; hits over nine-month low

Bharat Dynamics share price today:

Share price Bharat Dynamics  hit an over nine-month low of Rs 1,260, plunging 9 per cent on the BSE in Monday’s intra-day trade amid heavy volumes in otherwise a firm market. 

 

In the past two trading days, the stock price of Bharat Dynamics has tanked 18 per cent. It is quoting at its lowest level since April 9, 2025. It plunged 40 per cent from its 52-week high level of Rs 2,096 touched on May 30, 2025. It had hit a 52-week low of Rs 908.90 on March 3, 2025.

 

At 2:17 PM; Bharat Dynamics was quoting 8.1 per cent lower at Rs 1,274.40, as compared to 0.41 per cent rise in the BSE Sensex.The average trading volumes on the counter jumped over two-fold with a combined 4.73 million equity shares

of Bharat Dynamics have changed hands on the NSE and BSE.

Why did Bharat Dynamics share price fall today?

Bharat Dynamics share price declined as most analysts flagged caution about margin pressure going forward. 

Bharat Dynamics reported that the standalone net profit declined 50.4 per cent to ₹72.9 crore in the December quarter (Q3FY26) from ₹1,471.2 crore in the corresponding period of the previous financial year.

 

The Earnings before interest, taxes, depreciation, and amortisation (Ebitda) slumped 42 per cent Y-o-Y to ₹123.1 crore from ₹211.3 crore. The total revenue of Bharat Dynamics decreased 47 per cent on year to ₹5,666 crore from ₹8,321 crore. 

 

Meanwhile, Q-o-Q total revenue of Bharat Dynamics slumped 50.6 per cent to ₹5,666 crore from ₹11,470 crore. The net profit declined 66 per cent to ₹729 crore from ₹2,159 crore. 

  The Earnings before interest, taxes, depreciation, and amortisation (Ebitda) declined 60 per cent on quarter to ₹123 crore from 308.1 crore.   

Motilal Oswal Financial Services | Buy | Target reduced to ₹1,800 from ₹2,000  Motilal Oswal Financial Services has cut the earnings estimates by 21 per cent, 17 per cent, and 14 per cent, respectively, for the financial year 2026, 2027, and 2028, as it believes that the higher share of bought-out components will continue to weigh on its overall margins.   

 

The brokerage expects a revenue, earnings before interest, taxes, depreciation, and amortisation (Ebitda), and profit after tax (PAT) compound annual growth rate (CAGR) of 35 per cent, 55 per cent, and 44 per cent, respetively over the financial years 2025 and 2028. 

  However, order inflows of Bharat Dynamics remained healthy during nine months of the current financial year (9MFY26) at ₹5,400 crore and the company is expecting additional ₹4,000-5,000 crore worth of orders in the March quarter (Q4FY26), which keeps the near-to-medium term prospects strong.     Antique Stock Broking | Sell | Target price raised to ₹1,729 from ₹1,667

 

The brokerage said BDL's execution has not been at its full potential due to supply chain challenges that Bharat Dynamics faced over the last two years. The supply chain issues were prevalent due to geopolitical issues between Israel and Hamas, Antique said in a report.  

The brokerage believes normalisation of supply chain and development of an alternate supply chain would help Bharat Dynamics to executie the large order backlog smoothly.

 

Elara Capital | Sell | Target price raised to ₹1,480 from ₹1,360

 

Elara Capital also lowered its financial year 2026 earnings-per-share (EPS) estimates by 17 per cent, and its financial year 2027 (FY27) EPS estmates by 8 per cent due delay in Akash missile execution (this FY vs expectation from previous FY).   Elara Capital has downgraded the stock as the current price factors in all positives, along with a 400–600 basis points lower Ebitda margin. The stock outperformed the Nifty by 48 per cent. The brokerage expects an earnings compound annual growth rate (CAGR) of 46 per cent during the financial year 2025 and 2028 estimates with an avergae Return on Equity (RoE) of 24 per cent during the same period. 

 

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