BHEL Soars 250% Anually, Hits 52-Week High with 14% Jump

4 Mar 2024 , 02:09 PM

On March 4 morning, huge trading volumes caused shares of Bharat huge Electricals Limited (BHEL) to jump over 14% and reach an eight-year high of ₹269.35 on the National Stock Exchange (NSE).

15 Crore shares have exchanged hands on the BSE and NSE combined, far more than the 4 Crore share one-month average.

The shares increased following the board of NTPC authorising an investment of ₹17,195.3 Crore for the development of the third phase of the Singrauli Super Thermal Power Project, for which BHEL was the sole bidder.

At 14:07 am, BHEL was up 13.5% over the previous close on the NSE, trading at ₹267.70. In the past year, the multibagger stock has increased by over 250%, while the Nifty has increased by only 26%. The stock has gained 93% in the last half-year alone.

Since the company last week signed a joint venture agreement (JVA) with Coal India (CIL) to conduct coal to chemicals business, the stock of BHEL, a maker of integrated power plant equipment, has been rising.

A coal-to-2,000 TPD ammonium nitrate facility will be established under the joint venture utilising pressurised fluidized bed gasification (PFBG), an internal technology of the business.

51% of the equity shareholding will be held by CIL and 49% by BHEL. The JV would have an initial paid-up share capital of ₹1 lakh and be formed as a ‘Private Limited’ firm.

BHEL operates throughout the domains of industry and power. In addition to building facilities powered by gas, coal, hydropower, nuclear energy, and solar energy, it offers equipment such turbo generators, boilers, turbines, and accessories.

It serves industries like transportation, electricity transmission and distribution, process industries, and defence. A broad range of products are designed, engineered, manufactured, constructed, tested, installed, and maintained by BHEL.

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