Bharat Dynamics Stock Soars: A 70% Recovery from 52-Week Lows
Bharat Dynamics Limited has made headlines recently, showcasing impressive growth in its stock price. After hitting a 52-week low of ₹897.15 in November 2024, the shares have rebounded significantly, climbing 70%. This upward trend has caught the attention of investors, especially as the stock outperformed the Nifty 50 index, which rose by just 5% in the same timeframe. Is now the right time to consider buying or selling?
Strong Performance Indicators
As per preliminary figures released by Bharat Dynamics, expectations for the fourth quarter and fiscal year 2025 are on the rise. The company anticipates achieving a remarkable turnover of over ₹3300 Crore for FY 2024-25, a substantial increase from last year’s ₹2369 Crore. This translates to a staggering 40% growth year-over-year.
- Export Sales: The company is also set to record its highest export sales, exceeding ₹1200 Crore, marking an astonishing 640% increase from last year’s export figures of ₹161 Crore.
Robust Order Book Enhances Growth Outlook
Bharat Dynamics has secured orders amounting to ₹6668 Crore in FY 2024-25, resulting in a strong order book of approximately ₹22700 Crore as of April 1, 2025. This solid order position enhances revenue visibility and reinforces the company’s earnings outlook moving forward.
Technical Analysis and Future Projections
Despite the notable gains in share prices, analysts at ICICI Securities remain bullish on Bharat Dynamics. They have set a target price of ₹1648 for the stock, which currently trades around ₹1529. In their report dated April 30, ICICI Securities expressed confidence that the stock could reach its target within just 14 days.
Key Takeaways
- Stock Recovery: Bharat Dynamics shares have surged 70% from their low point.
- Projected Turnover: Expected turnover for FY 2024-25 is over ₹3300 Crore.
- Export Growth: Anticipated export sales are expected to exceed ₹1200 Crore.
- Strong Orders: The company has an impressive order book valued at ₹22700 Crore.
In summary, the future looks promising for Bharat Dynamics as it experiences significant growth in both domestic and export markets. Investors should consider the robust indicators and expert forecasts before making any decisions regarding their positions in this defence sector stock.
