PSU defence stock joins ₹3-trn market cap club; zooms 65% from April low

BEL share price: With a market cap of ₹3.03 trillion, BEL stands at 25th position in the overall market cap ranking of the BSE listed companies

Bharat Electronics share price today: Navratna defence public sector undertaking (PSU), Bharat Electronics (BEL), hit a new high of ₹416.95 per share, rising 2 per cent on the BSE in Monday's intraday trade, in an otherwise weak market, on a healthy business outlook. The company has a strong order book position, supporting revenue visibility in the coming years. In comparison, the BSE Sensex was down 0.85 per cent at 81,708 at 09:35 AM.

 

BEL shares have bounced 65 per cent from their three-month low level of ₹252.25, which they touched on April 7, 2025. Thus far in calendar year 2025, the defence stock has outperformed the market by surging 41 per cent as against a 4 per cent rise in the benchmark index.

 

Bharat Electronics joins ₹ 3 trillion market cap club

 

With today's stock rally, BEL has joined the top league of firms having market capitalisation (market cap) of more than ₹3 trillion.

 

BEL has, now, become the second PSU defence company, after Hindustan Aeronautics, that has a market cap of ₹3.36 trillion, BSE data shows. Currently, BEL's market cap stood at ₹3.03 trillion at the time of writing this report and was at 25th position in the overall market cap ranking of the BSE listed companies.

 

Inclusion in BSE Sensex

 

BEL and Tata Group-owned Trent were included in the 30-stock BSE Sensex index with effect from today, replacing IndusInd Bank and Nestle India, as per the latest rebalancing announced by Asia Index Pvt Ltd, a BSE Ltd subsidiary. BEL is likely to see similar inflows, with about $275 million projected, or 3.1 times its average daily volume (ADV).

 

Secures orders worth of ₹3,445 crore in June 2025

 

Thus far in the month of June 2025, BEL has secured three orders worth of ₹3,445 crore.

 

On Friday, June 20, 2025, BEL announced that the company has secured additional orders worth ₹585 crore. Major orders received include fire control and sighting system for missiles, communication equipment, jammers, spares, services etc.

 

On June 5, BEL said that the company has received orders from Mazagon Dock Shipbuilders (MDL), Mumbai and Garden Reach Shipbuilders & Engineers (GRSE), Kolkata totally valued at ₹2,323 crore (excluding taxes) for supply of base and depot spares for the missile systems on Indian Naval ships. The spares will ensure operational continuity of onboard mission critical equipment.

 

On June 4, BEL said it has secured additional orders worth ₹537 crore since the last disclosure on 16 May 2025. Major orders received include communication equipment, advanced composite communication system for ship, jammers, software, simulator upgrades, spares, test rigs, services etc.

 

Meanwhile, on June 6, 2025, BEL announced the signing of a Memorandum of Understanding (MoU) with Tata Electronics towards the development of indigenous electronics and semiconductor solutions in line with the Government of India's vision for self-reliance. This MoU marks a significant step forward for BEL and Tata Electronics in jointly exploring end-to-end solutions to meet domestic requirements.

 

Takeaways from FY25 results/FY26 guidance

 

BEL expects FY26 new orders at ₹ 55,000 crore (₹27,000 crore ex-QRSAM) and minimum revenue growth of 15 per cent with a 27 per cent earnings before interest, taxes, depreciation and amortisation (Ebitda) margin (vs 23-25 per cent FY25 guidance). Capex/R&D was guided at ₹1,000/1,600 crore with 90 per cent of revenue from defence. Revenue growth guidance is a minimum 15-17 per cent and 20 per cent long-term which, in analysts view, reflects improving visibility (exports/higher domestic demand) based on the proven competitive edge post recent developments (combat deployment).

 

Potential orders for BEL include the QRSAM (Quick Reaction Surface to Air Missile), next-generation corvettes, and spares for the LRSAM (Long-Range Surface-to-Air Missile), Atulya and Shakti electronic warfare systems. The long-term pipeline includes the Akash, Project Kusha air defense system and SDR (software defined radios), largely led by requirements from the army.

 

With a healthy order backlog, robust pipeline and improving execution led by increasing indigenisation, analysts believe that BEL provides strong earnings visibility. They expect revenue & profit after tax (PAT) compounded annual growth rate (CAGR) at ~17 per cent & ~18 per cent respectively over FY25-27E.

 

About Bharat Electronics (BEL)

 

Bharat Electronics (BEL), is a leading aerospace and defence electronics company. It primarily manufactures advanced electronics products. The company has a diverse product range including radar, missile systems, electronic warfare & avionics, anti-submarine warfare, electro-optics, homeland security, civilian products, etc