loader2
Login Open ICICI 3-in-1 Account
Text Size
Text to Speech
Color Contrast
Pause Animations

Open ICICI
3-in-1 Account

Manage your Savings, Demat and Trading Account conveniently at one place

+91

BLOG

Hidden Gem: Bharat Electronics (BEL) (Target Price 530)

ICICIdirect Research 03 Apr 2026 DISCLAIMER

BEL, being a dominant leader in India's defence electronics segment, is one of the biggest beneficiaries of growing usage of electronics in defence sector in both domestic and export markets. Company already has strong manufacturing expertise to deliver a wide range of products including radar systems, electronic warfare solutions, avionics etc.
Order backlog stands at ₹ 74,000 crores (2.7x FY26 revenue) as of Mar-26 end, which provides healthy revenue growth visibility. The order inflow for FY26 stood at ₹ 30,000 crores (as against ₹27,000 crores guided by the management).
FY27E order inflows are expected to surpass ₹ 50,000 crore considering that the large QRSAM contract (₹ 30,000 crore) is likely to be concluded in Q1FY27E. Longer-term pipeline includes various types of radars, EW systems, space electronics etc.
Management guides ~15% revenue CAGR over the next 3-4 years with gradual improvement in margins (led by increasing localisation and favourable product mix).
Overall, we believe that BEL remains well placed for sustained growth driven by execution of a robust backlog and continued inflow of large defence orders.
We have a target price of 530 on BEL.

Download ICICI Direct app

Invest, Track, and Manage your Portfolio Anytime, Anywhere

Download ICICI Direct app

Invest, Track, and Manage your Portfolio Anytime, Anywhere