Bharat Heavy Electricals Ltd (BHEL) is making headlines on Friday after signing an important agreement with an Italian company called Nuovo Pignone International. This agreement, known as a Memorandum of Understanding (MoU), focuses on working together to improve compressors used in India’s fertiliser industry. The MoU, which started on April 9, 2025, will last for 10 years unless both companies decide to extend it.
In this partnership, BHEL will lead the bidding for projects to upgrade compressor systems, while Nuovo Pignone will provide specific tools and support. There’s no sharing of company ownership or upfront payments in this deal. BHEL aims to grab around 50% of the market in this area, helping them strengthen their role in fixing and maintaining equipment used in agriculture.
In February, BHEL also received a big order worth Rs 6,200 crore from Damodar Valley Corporation (DVC) for work at a thermal power plant in West Bengal. This includes supplying, setting up, testing, and starting up steam generators and related systems.
Currently, BHEL shares have a target price of Rs 213, which suggests a slight increase of 1% from today’s price. Out of 18 analysts, most suggest holding onto the stock. BHEL’s relative strength index (RSI) is 54.6, which shows it’s in a neutral position. The stock is currently below its moving averages for several days but above for some shorter periods.
Recently, BHEL shares closed at Rs 211.8, up by 0.4%. While the stock has dropped 20% in the last six months, it has soared by 200% over the last two years, and the company’s market value is around Rs 73,750 crore.
(Disclaimer: The opinions and recommendations in this article are from various experts and do not necessarily represent the views of NiftyStat.)
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