Today › Defence electronics (PSU) › Bharat Electronics

Defence electronics (PSU) Historical case study · data as of 01 Jul 2026 · published 04 Oct 2026 (95 days later)

Bharat Electronics — 100-point case study

How Bharat Electronics looked on 50 technical and 50 fundamental measures on 01 Jul 2026 — and what happened over the next three months. Education only; not a current view.

Codes	NSE: BEL · BSE: 500049
Close on 01 Jul 2026	₹416.25
Market cap then	₹3,04,349 crore
Valuation	P/E 50.2× · P/B 12.69×
Momentum	RSI (14) 50 · 1-year return -3.7%
Next 3 months	-8.0% vs Nifty 50 -6.6% (to 01 Oct 2026)

Scorecard

Technical — 50 points

13 bullish · 24 neutral · 0 caution · 12 bearish — the picture was mixed.

Fundamental — 50 points

19 bullish · 28 neutral · 2 caution · 0 bearish — the picture leaned positive.

Price chart

Close (to snapshot) Close (after) 50-day avg 200-day avg Support Resistance

Technical analysis — 50 points

Calculated by code from daily prices up to 01 Jul 2026. Standard formulas (RSI, MACD, ADX use Wilder smoothing).

A. Trend

#	Point	Reading	Tag	Commentary
1	Short-term trend (20 days)	slope +0.13%/day	Bullish	Over the last 20 sessions the regression line of closing prices was rising about 0.13% a day — a short-term uptrend.
2	Medium-term trend (~5 months)	3M return +0.7%	Bearish	The 100-session trend line was down (-0.08%/day) and the stock was +0.7% over three months, so the medium-term picture was bearish.
3	Long-term trend (1 year)	1Y return -3.7%	Neutral	Compared with a year earlier the price was -3.7%. Little net progress over twelve months.
4	Weekly chart trend	10W 418.70 / 30W 424.02	Bearish	On the weekly chart the stock showed a weekly close below the 10-week average, which sat below the 30-week.
5	Swing structure (highs/lows)	last highs 417.00→435.00; lows 407.00→399.00	Neutral	The two most recent swing points showed a higher high but a lower low — mixed structure.
6	ADX (14) — trend strength	22.7	Bearish	ADX at 22.7 shows a trend of moderate strength. ADX measures strength only, not direction.
7	+DI vs –DI	+DI 19.6 / –DI 23.6	Bearish	–DI was above +DI: sellers had the upper hand in directional movement.

B. Moving averages

#	Point	Reading	Tag	Commentary
8	Price vs 20-day SMA	413.56 (+0.7%)	Bullish	Close of 416.25 was 0.7% above the 20-day SMA — the short-term trend filter was positive.
9	Price vs 50-day SMA	423.27 (-1.7%)	Bearish	Close of 416.25 was 1.7% below the 50-day SMA — the medium-term trend filter was negative.
10	Price vs 200-day SMA	419.33 (-0.7%)	Bearish	Close of 416.25 was 0.7% below the 200-day SMA — the long-term trend filter was negative.
11	9 / 21 EMA crossover	9E 414.99 / 21E 415.84	Bearish	The 9-day EMA was below the 21-day EMA; the last crossover happened on 25 Jun 2026.
12	Golden / death cross (50 vs 200)	no cross in data window	Bullish	The 50-day average was 0.9% above the 200-day. No 50/200 crossover occurred in the data window.
13	50-day SMA slope	-1.5% in 20 sessions	Bearish	The 50-day average fell 1.5% over the past month — declining.
14	MA ribbon alignment	414 / 423 / 431 / 419	Neutral	The 20/50/100/200-day averages were tangled — no clean order, typical of a transition or range.
15	Monthly anchored VWAP	415.10 (+0.3%)	Bullish	Anchored to the start of July, the volume-weighted average price was 415.10; the close was above it — buyers that month were on average in profit.

C. Momentum

#	Point	Reading	Tag	Commentary
16	RSI (14)	49.6	Neutral	RSI at 49.6 was in the neutral 45–55 zone.
17	RSI divergence (last 40 days)	bullish divergence	Bullish	Comparing the last 20 sessions with the 20 before: bullish divergence: price made a lower low but RSI made a higher low — selling momentum was fading.
18	MACD line vs signal	MACD -1.47 / signal -1.86	Bullish	MACD was above its signal line — momentum turning or staying positive.
19	MACD histogram (5-day change)	1.95 → 0.39	Bearish	The histogram fell over the last five sessions, meaning momentum was weakening.
20	MACD vs zero line	-1.47	Bearish	MACD below zero means the 12-day EMA was below the 26-day EMA — a negative momentum regime.
21	Stochastic (14,3,3)	%K 34.5 / %D 31.0	Bullish	Slow stochastic at 34.5 was mid-range with %K above %D.
22	Williams %R (14)	-56.4	Neutral	%R of -56.4 put the close in the middle of its 14-day range.
23	CCI (20)	16	Neutral	CCI at 16 was within the normal ±100 band.
24	Rate of change (10-day)	+2.1%	Bullish	Price changed +2.1% over ten sessions.

D. Volatility

#	Point	Reading	Tag	Commentary
25	Bollinger Band position (%B)	%B 0.58 (bands 397.59–429.53)	Neutral	%B of 0.58 — inside the bands, upper half.
26	Bollinger width / squeeze	width 7.7% (19th pct of 6M)	Neutral	Band width was at the 19th percentile of the last six months, a normal level.
27	ATR (14)	₹9.29 (2.2% of price)	Neutral	A typical day's range was about ₹9.29, or 2.2% of the price — useful for judging how much 'normal noise' to expect.
28	Historical volatility (30-day)	21.3% vs 1Y 25.4%	Neutral	Annualised 30-day volatility was 21.3%, close to the one-year level of 25.4%.
29	Keltner Channel (20, 2×ATR)	397.31–434.13	Neutral	The close was inside the channel, so no volatility breakout.
30	Beta vs Nifty 50 (1Y daily)	0.87	Neutral	A beta of 0.87 means the stock tended to move less than the Nifty 50 day to day.

E. Volume & money flow

#	Point	Reading	Tag	Commentary
31	Volume vs 20-day average	last day 0.69× / 5-day 1.27×	Neutral	The final session traded 0.69× its 20-day average volume and the last five sessions averaged 1.27× — heavier than usual participation.
32	Up-day vs down-day volume (20d)	ratio 1.37	Bullish	Average volume on up days was 1.37× that on down days — accumulation-leaning.
33	On-Balance Volume (20d)	OBV rising	Bullish	OBV rose over the month while price rose — volume confirmed the price move.
34	Accumulation/Distribution line	rising (20d)	Bullish	The A/D line rose, meaning closes tended to be in the upper part of daily ranges on meaningful volume.
35	Chaikin Money Flow (20)	0.02	Neutral	CMF at +0.02 indicated roughly balanced money flow.
36	Money Flow Index (14)	68.6	Bullish	MFI, a volume-weighted RSI, was 68.6.
37	Liquidity (avg daily turnover)	₹534 cr/day	Neutral	About ₹534 crore changed hands per day on average over 20 sessions — highly liquid.

F. Price levels

#	Point	Reading	Tag	Commentary
38	Support levels (S1/S2/S3)	415.50 / 399.47 / 376.06	Neutral	Nearest support (prior swing lows) sat at 415.50, 0.2% below the close, then 399.47, 376.06.
39	Resistance levels (R1/R2/R3)	425.42 / 443.80 / 458.85	Neutral	Nearest resistance (prior swing highs) sat at 425.42, 2.2% above the close, then 443.80, 458.85.
40	Monthly pivot points (for next month)	P 415.10 \| R1 418.80 \| S1 412.55	Neutral	Classic pivots from July's high/low/close gave a pivot of 415.10; the close was above it.
41	Fibonacci retracement (6M swing)	23.6% 454 \| 38.2% 441 \| 50.0% 432 \| 61.8% 422	Neutral	Measuring the 6-month rise from 389.55 to 473.45, the close was nearest the 61.8% retracement at 421.60.
42	52-week high / low	H 473.45 / L 361.20	Neutral	The close was 12.1% below the 52-week high and 15.2% above the 52-week low.
43	Unfilled price gaps (6M)	none	Neutral	No unfilled price gaps in the last six months.

G. Patterns

#	Point	Reading	Tag	Commentary
44	Price structure / chart pattern	counter-trend bounce inside a larger downtrend	Neutral	Rule-based pattern scan: counter-trend bounce inside a larger downtrend. (Classical patterns like head-and-shoulders are judgement calls; we report only what the rules detect.)
45	Breakout / breakdown (20-day)	range 399.00–435.00	Neutral	The close was inside the prior 20-day range of 399.00–435.00.
46	Latest candlestick	Ordinary green candle	Neutral	On 01 Jul the candle opened 413.00, ranged 411.40–417.65 and closed 416.25: Ordinary green candle. Single candles are weak signals on their own.
47	Ichimoku Cloud	cloud 428.39–436.40; Tenkan 419.27 / Kijun 417.00	Bearish	Price was below the cloud and the Tenkan line was above the Kijun line — a bearish Ichimoku setup.

H. Relative strength & summary

#	Point	Reading	Tag	Commentary
48	Relative strength vs Nifty 50	1M -0.4% / 3M -2.3%	Bearish	The stock underperformed the Nifty 50 by 2.3 points over three months and underperformed by 0.4 points over one month.
49	Relative strength vs Nifty 50 (6M)	6M +12.6%	Bullish	No sector index in today's data set, so we show the 6-month comparison instead: 12.6 points ahead of the Nifty 50.
50	Technical summary	13 bullish · 12 bearish · 24 neutral · 0 caution	Neutral	Across the 49 readings the technical picture was mixed. Levels that mattered: support 415.50, resistance 425.42. This is a description of the chart on 01 Jul 2026, not a forecast.

Fundamental analysis — 50 points

Uses only results published by 01 Jul 2026: FY26 annual (Apr 2025–Mar 2026), the Jan–Mar 2026 quarter and the Mar 2026 shareholding. ₹ crore, consolidated unless stated. Valuation uses the 01 Jul 2026 close.

A. Valuation

#	Point	Reading	Tag	Commentary
1	P/E (trailing 12 months)	50.2×	Neutral	At ₹416.25 the market valued the company at about ₹3,04,349 crore, or 50.2× the ₹6,062 crore profit of the four quarters to Mar 2026. That is a premium multiple — the market expected growth.
2	Price / Book	12.69×	Neutral	Market cap was 12.69× the Mar 2026 book value (equity + reserves) of ₹23,988 crore.
3	Price / Sales	11.02×	Neutral	The company was valued at 11.02× its trailing-12-month sales of ₹27,610 crore.
4	EV / EBITDA (approx.)	37.8×	Neutral	Enterprise value (market cap + ₹65 cr borrowings; cash not netted) was 37.8× trailing operating profit of ₹8,049 crore.
5	Earnings yield	2.0%	Neutral	The inverse of P/E: each ₹100 invested bought about ₹2.0 of annual earnings. Investors often compare this with the ~6–7% yield on 10-year government bonds.
6	PEG (P/E ÷ 3-yr profit CAGR)	1.89	Neutral	P/E of 50.2 divided by 3-year profit growth of 26.6% a year gives a PEG of 1.89. Below 1 is often read as growth being cheaply priced; above 2 as expensive.
7	Dividend yield (trailing 12M)	0.68%	Neutral	Dividends with ex-dates in the 12 months to the snapshot totalled ₹2.85 a share, a 0.68% yield on the ₹416.25 price.
8	Market capitalisation	₹3,04,349 cr	Neutral	At about ₹3.04 lakh crore the company was a large-cap.
9	Graham number vs price	₹78.23 vs ₹416.25	Neutral	Benjamin Graham's conservative fair-value yardstick √(22.5 × EPS × book value per share) came to ₹78.23; the price was 432% above it. Quality franchises usually trade above this number.

B. Growth

#	Point	Reading	Tag	Commentary
10	Revenue growth FY26 (YoY)	+16.2%	Bullish	Revenue for FY26 was ₹27,610 crore, +16.2% versus FY25.
11	Q4 FY26 revenue growth (YoY)	+11.7%	Bullish	The Jan–Mar 2026 quarter brought ₹10,224 crore of revenue, +11.7% on the same quarter a year earlier.
12	Net profit growth FY26 (YoY)	+13.9%	Bullish	FY26 net profit was ₹6,062 crore, +13.9% on FY25's ₹5,323 crore.
13	Q4 FY26 profit growth (YoY)	+4.7%	Neutral	Quarterly profit was ₹2,226 crore versus ₹2,127 crore a year earlier (+4.7%).
14	Revenue CAGR (3 years)	15.9%	Bullish	Revenue compounded at 15.9% a year from FY23 to FY26.
15	Profit CAGR (3 years)	26.6%	Bullish	Net profit compounded at 26.6% a year from FY23 to FY26.
16	Revenue CAGR (5 years)	14.4%	Bullish	Over five years (FY21–FY26) revenue compounded at 14.4% a year.
17	EPS growth FY26 (reported)	+13.9%	Bullish	Reported EPS went from ₹7.28 to ₹8.29 (+13.9%). Differences from profit growth come from changes in share count (bonus, buyback, new issues).

C. Profitability

#	Point	Reading	Tag	Commentary
18	Operating margin FY26	29%	Neutral	Operating profit (EBITDA) was 29% of sales in FY26 versus 29% in FY25.
19	Operating margin trend (4 quarters)	28% → 29% → 30% → 29%	Neutral	Quarterly margins moved from 28% to 29% over the last four quarters — broadly stable.
20	Net profit margin FY26	22.0%	Neutral	₹22.0 of every ₹100 of revenue ended up as net profit in FY26.
21	Return on equity FY26	27.6%	Bullish	FY26 profit was 27.6% of average shareholders' equity. Above ~15% is generally considered good; below 10% weak.
22	ROCE FY26	36%	Bullish	Return on capital employed (debt + equity) was 36% in FY26.
23	Return on assets FY26	13.61%	Neutral	Net profit was 13.61% of total assets.
24	Effective tax rate FY26	25%	Neutral	The company paid about 25% of pre-tax profit as tax; India's base corporate rate is ~25%.
25	Other income share of pre-tax profit	7%	Neutral	Non-operating 'other income' of ₹566 crore made up 7% of pre-tax profit.

D. Balance sheet

#	Point	Reading	Tag	Commentary
26	Debt / equity	0.00	Bullish	Borrowings of ₹65 crore were 0.00× equity — very low leverage.
27	Debt / EBITDA	0.01×	Bullish	Debt equalled 0.01 years of FY26 operating profit.
28	Interest coverage	806.3×	Bullish	Earnings before interest and tax covered interest cost 806.3 times.
29	Book value growth	+20.1%	Bullish	Shareholders' equity grew +20.1% from ₹19,974 crore to ₹23,988 crore in FY26.
30	Capital work in progress	₹731 cr (18% of fixed assets)	Neutral	Projects under construction (CWIP) were 18% of fixed assets — a modest pipeline.
31	Working capital days	135 days	Neutral	Working capital tied up equalled 135 days of sales (FY25: 85). Negative means suppliers/customers fund operations.
32	Cash conversion cycle	342 days	Neutral	It took 342 days to turn inventory and receivables into cash, net of supplier credit.
33	Debtor days	170 (FY25 140)	Caution	Customers took 170 days on average to pay, versus 140 a year earlier — a notable stretch in collections.

E. Cash flow

#	Point	Reading	Tag	Commentary
34	Operating cash flow FY26	₹1,541 cr	Bullish	The business generated ₹1,541 crore of operating cash in FY26 versus ₹564 crore in FY25.
35	Free cash flow FY26	₹560 cr	Bullish	After capital spending, free cash flow was ₹560 crore.
36	Cash conversion (CFO ÷ net profit)	0.25×	Caution	Operating cash flow was 0.25× reported profit — cash lagged profits; worth watching.
37	Free-cash-flow yield	0.2%	Neutral	FY26 free cash flow was 0.2% of the snapshot market cap.
38	Free cash flow — 3-year total	₹4,131 cr	Bullish	Free cash flow over FY24–FY26 added up to ₹4,131 crore.
39	Capex FY26 (CFO – FCF)	₹981 cr	Neutral	Implied capital expenditure was about ₹981 crore, 3.6% of sales.

F. Dividends & shareholder returns

#	Point	Reading	Tag	Commentary
40	Dividend payout ratio FY26	30%	Neutral	The company paid out about 30% of FY26 profit as dividends.
41	Dividend consistency (3 years)	40% / 33% / 30%	Bullish	Payout ratios for FY24 / FY25 / FY26 — dividends were paid every year.
42	Share capital change (FY25→FY26)	+0.0%	Neutral	Paid-up equity capital changed +0.0% (₹731 cr → ₹731 cr). Essentially unchanged — no dilution.

G. Ownership

#	Point	Reading	Tag	Commentary
43	Promoter holding	51.14% (+0.00 pts YoY)	Neutral	Promoters owned 51.14% at Mar 2026 versus 51.14% a year earlier.
44	Foreign institutional holding	19.51% (+1.96 pts YoY)	Bullish	FIIs held 19.51% at Mar 2026, up from 17.55% a year before.
45	Domestic institutional holding	20.00% (-0.87 pts YoY)	Neutral	Mutual funds, insurers and other DIIs held 20.00%, down from 20.87%.
46	Number of shareholders	25.3 lakh (-5.5% YoY)	Neutral	The shareholder count moved from 26.8 lakh to 25.3 lakh in a year — a rough gauge of retail interest.
47	Promoter pledge	none reported	Neutral	Our source showed no pledged promoter shares.

H. Quality & summary

#	Point	Reading	Tag	Commentary
48	Financial health checklist (Piotroski-style, 8 tests)	7/8	Bullish	Passed: positive profit, positive operating cash flow, leverage fell, operating margin improved, ROA improved, asset turnover improved, no meaningful dilution (<3%). Failed: CFO > net profit.
49	Automated screen flags	4 strength(s) · 3 weakness(es)	Neutral	Strengths: Company is almost debt free; Delivered strong profit growth of 23.5% CAGR over the last 5 years; Maintains a solid return on equity track record: 3-Year ROE of 27.7%; Consistently maintained a healthy dividend payout of 34.5%. Weaknesses: Stock trades at 11.7 times its book value; Company carries high debtors of 170 days; Working capital days increased from 79.4 days to 135 days. (Flags generated by the data source’s rule screen.)
50	Fundamental summary	19 bullish · 0 bearish · 28 neutral · 2 caution	Bullish	On the numbers published by 01 Jul 2026 the fundamental picture leaned positive. Valuation: P/E 50.2×, P/B 12.69×. This describes the data, not a recommendation.

News in the three months before the snapshot

Company news from 01 Apr 2026 – 01 Jul 2026 that an investor could have known on the snapshot date.

22 Apr 2026 BEL secures Rs 569 crore orders at start of FY27 — Bharat Electronics announced orders worth Rs 569 crore covering avionics, electronic warfare systems, high energy laser technologies, communication equipment, tank components and laser-based fuzes. source
19 May 2026 BEL reports Q4 FY26 results; final dividend of Rs 0.55 recommended — Q4 FY26 standalone PAT was about Rs 2,203 crore (up ~5% YoY) on revenue from operations of about Rs 10,177 crore; FY26 revenue about Rs 27,480 crore. Order book stood at Rs 73,882 crore as of 1 April 2026. source
20 May 2026 BEL shares slip after Q4 as margins contract — Shares declined about 2% after results; EBITDA margin fell to 29.1% from 30.6% a year earlier, attributed to higher material, employee and project execution costs. source
25 May 2026 BEL receives additional orders worth Rs 608 crore — Orders covered communication equipment, avionics and radar systems; the stock closed about 1.25% higher at Rs 421.75. source
23 Jun 2026 BEL wins Rs 1,081 crore order — Bharat Electronics announced a fresh order of Rs 1,081 crore in defence electronics. source

What happened next (01 Jul 2026 → 01 Oct 2026)

Price went from ₹416.25 to ₹383.10 by 01 Oct 2026 (-8.0%) while the Nifty 50 moved -6.6% — underperforming by 1.4 points.
Highest ₹429.90 on 06 Jul 2026; lowest ₹378.65 on 01 Oct 2026.
S1 415.50: broken on a closing basis on 02 Jul 2026.
S2 399.47: broken on a closing basis on 28 Jul 2026.
R1 425.42: cleared on a closing basis on 06 Jul 2026.
R2 443.80: not cleared on a closing basis.
200-day SMA: price was below it at the snapshot and crossed above on 06 Jul 2026.
Apr–Jun 2026 results (reported 27 Jul 2026): revenue ₹5,547 crore (+24.9% YoY), net profit ₹1,055 crore (+8.9% YoY), operating margin 25% vs 28% a year earlier (Screener consolidated figures).

Later news

13 Jul 2026 BEL wins Rs 572 crore orders; board meeting for Q1 results set for 27 July — Orders worth Rs 572 crore received since 22 June 2026 for communication systems, avionics and tank sub-systems; board to consider June-quarter results on 27 July 2026. source
27 Jul 2026 BEL Q1 FY27: revenue up 25%, profit up 8% — Revenue from operations rose 25.3% YoY to Rs 5,533 crore and PAT rose 8.2% to about Rs 1,048 crore; order book was Rs 72,258 crore as of 1 July 2026. The stock fell about 4.5% the next session. source
31 Jul 2026 BEL secures Rs 847 crore of fresh orders — Orders for electro-optics, security operation centres, seekers, components, spares and services. source
27 Aug 2026 BEL receives orders worth Rs 730 crore — Orders cover communication equipment, radar, avionics, tank sub-systems, electro-optics and cyber security solutions. source
17 Sep 2026 BEL secures Rs 648 crore orders since 26 August — Orders include laser-based IR jammers, communication systems and AI-based software solutions. source

Educational summary. On 01 Jul 2026 the technical picture was mixed and the fundamental picture leaned positive. Over the next three months the stock moved -8.0% against -6.6% for the Nifty 50. A mixed chart gave no clear message, and the outcome shows why mixed readings are hard to act on. One case proves nothing on its own; the value is in seeing many cases over time. This page does not say whether to buy, sell or hold Bharat Electronics today.

Method designed by Pawan Kumar Sharma, CPA · ACCA · CIA. Numbers are computed by our engine from the sources listed below.

Sources: daily prices — Yahoo Finance history pages; financials and shareholding — Screener.in (fetched 04 Oct 2026); index — Nifty 50 via Yahoo Finance; news — linked articles. Calculations by Manage Our Finance. Report a correction

More case studies today

₹3,143.60close 01 Jul

Diversified infrastructure incubatorNSE: ADANIENTData as of 01 Jul 2026

Adani Enterprises — 100-point case study

Technical

Fundamental

What happened next (3 months): -10.4% vs Nifty 50 -6.6%

Technical: positiveFundamental: negativeP/E 42.8×P/B 5.26×RSI 661Y +19.9%

₹1,848.20close 01 Jul

Ports and logisticsNSE: ADANIPORTSData as of 01 Jul 2026

Adani Ports & SEZ — 100-point case study

Technical

Fundamental

What happened next (3 months): -6.0% vs Nifty 50 -6.6%

Technical: positiveFundamental: positiveP/E 33.3×P/B 4.44×RSI 591Y +27.7%

₹8,618.50close 01 Jul

Hospitals and healthcareNSE: APOLLOHOSPData as of 01 Jul 2026

Apollo Hospitals — 100-point case study

Technical

Fundamental

What happened next (3 months): -5.6% vs Nifty 50 -6.6%

Technical: positiveFundamental: positiveP/E 61.9×P/B 13.07×RSI 651Y +15.0%