Risk factor
Weak & very vulnerable to price shocks
Profitability factor
Overvalued vs peers
About
BEML Ltd. engages in the design, development, manufacture, and marketing of rail coaches, spare parts, and mining equipment. It operates through the following segments: Mining and Construction, Rail and Metro and Defence and Aerospace. The Mining and Construction segment produces machines such as bulldozers, excavators, loaders, pipe layers, wheeled loaders, tyre handlers, shovels, dumpers, water sprinklers, motor graders, and under mining equipment. The Rail and Metro segment supplies metro cars, utility vehicles, treasury vans, disposal units and rail buses. The Defence and Aerospace segment offers high mobility vehicle for various applications, recovery vehicles, aerospace components and tank aggerates to defence services. The company was founded on May 11, 1964 and is headquartered in Bangalore, India.
Company Valuation
Based on key historical and expected multiples, the stock is overvalued relative to its peers. In particular, the stock is overpriced on P/E, 'expensive' on EV/EBITD.
Target Price
The average target price of BEML.NS is 2115 and suggests 7.46% upside potential. Usually, this means a HOLD recommendation among investment firms. This neutral recommenda