Analysts were mostly divided on the counter about the price of BHEL shares. An expert said that the stock could reach Rs 120 in the near future. At Rs 107, there might be some help. One of them said that it could fall more if it settled below the said support level.
In the past year, shares of Bharat Heavy Electricals Ltd (BHEL) have gone up by 84.51 percent. The stock price has gone up 58.9% in six months and 32.3% so far in 2023. On Friday, the last time the scrip was traded, it was down 1.49 percent, at Rs 106. At this price, it was selling 6.48 percent lower than its 52-week high price of Rs 113.35, which was reached a few sessions earlier on August 23. Still, it was up 98.50% from its lowest price in the past year, which was Rs 53.40 on August 25 of last year.
On a fundamental level, the counter was last seen trading higher than the 5-day, 10-, 20-, 30-, 50-, 100-, 150-, and 200-day simple moving averages (SMAs). The relative strength index (RSI) for the market over the past 14 days was 59.24. When the number is below 30, it is said to be oversold, and when it is above 70, it is said to be overvalued. The price-to-equity (P/E) ratio of the company’s stock is 130.22, and the price-to-book (P/B) ratio is 1.40.
Trendlyne data showed that the goal price for the share is Rs 68, which means that it could go down by 36%. It has a one-year beta of 1, which means that the low on the counter is about average.
Analysts were mostly still uncertain about the counter. An expert said that the stock could reach Rs 120 in the near future. At Rs 107, there might be some help. One of them said that it could fall more if it settled below the said support level.
Mileen Vasudeo, a Senior Technical Research Analyst at Arihant Capital Markets, told BT TV, “Traders can buy BHEL with a stop loss of Rs 103 for goals between Rs 127 and Rs 135 levels to an upper limit of Rs 144 in few days.”
Ravi Singh, a market expert, said, “BHEL stock price was on a bull run after the company got an order from Adani Power Ltd. for Rs. Technical factors also show that the stock is moving in the right direction. The RSI and MACD are in the “buy” zone, and the moving averages are trading below the price of the stock. In the next few trade sessions, we may see a goal of Rs 120.”
The government-owned power company just got an order from Mahan Energen Ltd, which used to be called Essar Power MP and is now a wholly-owned part of Adani Power.
AR Ramachandran from Tips2trades said, “BHEL is bearish and high on the daily charts, and there is strong support at Rs. 113.” A daily finish below the support level of Rs. 107 could also lead to the short-term goal of Rs.
CMT’s independent market expert Kush Ghodasara said, “Since March, the stock has been on an upward trend path. Expecting to take profits around Rs 101 before a possible new high. A smart move would be to look for new places when prices go down, not when they are at their current levels.”
VLA Ambala, a research expert at Stock Market Today, said, “The counter may see profit booking. If you want to keep it, you should put a stop loss at Rs. 94.”