BEML Shares Rise After Securing Rs 294-Crore Defence Order
The order, valued at Rs 293.8 crore, is for the supply of high mobility vehicles.
Shares of BEML Ltd. surged 3.21% on Wednesday after the company announced an order win from the Ministry of Defence on Wednesday. The order, valued at Rs 293.8 crore, is for the supply of high mobility vehicles (HMV) with a 6x6 configuration, intended for general service roles in the Indian Army.
The stock opened higher and maintained its gains through the session. The HMV 6x6 is an all-terrain transport vehicle designed for personnel movement.
This latest contract follows another defence order worth Rs 185.7 crore awarded to BEML last week for the supply of bulldozers. In another news relating tot he company, on Monday, BEML’s board approved a stock split, reducing the face value of each equity share from Rs 10 to Rs 5, a move aimed at improving liquidity and retail participation.
The scrip rose as much as 3.21% to Rs 4,423 apiece. It pared gains to trade 0.93% higher at Rs 4,325.60 apiece, as of 10:33 a.m. This compares to a 0.16% decline in the NSE Nifty 50 Index.
It has fallen 5.88% in the last 12 months. Total traded volume so far in the day stood at 0.53 times its 30-day average. The relative strength index was at 45.
Out of four analysts tracking the company, three maintain a 'buy' rating, one one recommend a 'hold,' according to Bloomberg data. The average 12-month consensus price target implies an upside of 1.2%
