Bhel cut to size

Bharat Heavy Electricals lost 4% to Rs 2191.05 at 10:51 IST on BSE despite winning two large orders totalling 2,968 crore.

Meanwhile, BSE Sensex was down 433.94 points or 2.44% to 17,150.32 as Asian stocks fell sharply amid growing concerns about the global impact of a US slowdown.

On BSE, 33,632 shares were traded in the counter. The scrip had an average daily volume of 1.34 lakh shares in the past one quarter.

The stock hit a high of Rs 2235 and a low of Rs 2170 so far during the day. The stock had a 52-week high of Rs 2925 on 7 November 2007 and a 52-week low of Rs 970 on 16 March 2007.

The large-cap scrip had outperformed the market over the past one month till 29 February 2008, gaining 10.56% compared to the Sensex’s decline of 0.40%. However it underperformed the market in the past one quarter, declining 14.86% compared to Sensex’s decline of 9.22%.

The company’s current equity is Rs 489.52 crore. Face value per share is Rs 10. Government of India holds 67.72% stake in the company (as at end December 2008).

The current price of Rs 2191.05 discounts its Q3 December 2007 annualized EPS of Rs 63.07, by a PE multiple of 34.73.

Bharat Heavy Electricals (Bhel) said on Sunday 2 March 2008, it secured an order worth Rs 1,893 crore from GSPC Pipavav Power Company (GPPC), a subsidiary of Gujarat State Petroleum Corporation, for setting up a 700 megawatt gas turbine plant at Pipavav in Amreli district.

The other order, valued at Rs 1,075 crore is from Gujarat State Energy Generation for setting up a 350 megawatt combined cycle power plant at Hazira in Gujarat.

On 14 February 2008, Bharat Heavy Electricals (Bhel) bagged an order worth Rs 200 crore from Oil & Natural Gas Corporation for supplying oil field equipment.

On 8 February 2007, the company bagged an order worth Rs 3390 crore for setting up two units of 500 megawatt each in a thermal power station in northern Uttar Pradesh.

Bhel’s net profit rose 15.6% to Rs 771.90 crore on 14.4% growth in net sales to Rs 4964.14 crore in Q3 December 2007 over Q3 December 2006.

Bhel is engaged in manufacturing and distributing electrical, electronic, and mechanical and nuclear power equipment.