Bharat Dynamics Shares Can Zoom 32% Says Motilal Oswal Post Strong Q2, Maintains 'Buy'— Check New Target Price

Bharat Dynamics has a strong order pipeline of ~Rs 500 billion for the next five years, of which the company is targeting ~Rs 200 billion worth of orders to come in within the next two-three years. By FY30-31, the company expects to reach an annual turnover of Rs 100 billion..NDTV Profit’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer NDTV Profit’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..Motilal Oswal Report.Bharat Dynamics Ltd. delivered a strong performance in Q2 FY26 as supply chain issues started easing out, resulting in a sharp execution ramp-up. However, margins were affected by project mix during the quarter. The company also announced an order inflow of Rs 20 billion from Invar anti-tank missiles, and Bharat Dynamics is expected to benefit from emergency procurement, QRSAM, follow-on Astra orders from Hindustan Aeronautics Ltd., VSHORADS, etc. With a strong order book of Rs 235 billion and a focus on execution, we expect the company to grow revenue/Ebitda/PAT at 35%/64%/51% over FY25-28. The stock is currently trading at 40.1x/29.2x P/E on FY27/FY28 estimates. We reiterate our Buy rating on the stock with a revised target price of Rs 2,000, based on 42x Dec’27E earnings..Key risks and concerns Key risks for the company include a decline or reprioritization of the Indian defense budget, termination of existing contracts or failure to succeed in tendering projects, changes in procurement rules and regulations of the MoD and the government, and supply-chain-related issues..Click on the attachment to read the full report:.Samvardhana Motherson Q2 Review —Motilal Oswal Maintains 'Buy' On Long-Term Growth Opportunities.DISCLAIMERThis report is authored by an external party. NDTV Profit does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of NDTV Profit..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

Bharat Dynamics Shares Can Zoom 32% Says Motilal Oswal Post Strong Q2, Maintains 'Buy'— Check New Target Price

Motilal Oswal maintains its estimates and expects Bharat Dynamics' execution and margins to scale up in the coming quarters.

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