BEML Limited (formerly Bharat Earth Movers Limited)

A multi Bagger Government share. Huge order book. Stock to invest in 2025.

BEML

What BEML Company do

formerly Bharat Earth Movers Limited is an Indian public sector company headquarters in Bengaluru India. BEML operates under the ministry of defense and is one of the leading manufacturers of heavy equipment in India. BEML specializes in various sectors like defense, it manufacturers, military vehicles and equipment for Indian armed forces such as tank aggregates, armed recovery vehicles and missile launchers.

BEML works for mining and constructions. BEML produces equipment like bulldozers excavators dump trucks motors. It also works for a rail and Metro it supply real coaches, wagons, and Metro cars for urban and intercity transportation systems. It also provides components for aerospace projects, including parts of aircraft and a space exploration missions. It also works  to provide solution to wind energy systems.

BEML Share Holding patterns 

As of December 2024, the shareholding pattern of BEML Limited is as follows

CategoryPercentage of Holdings
Promoters54.03%
Foreign Institutional Investors7.41%
Mutual Funds15.94%
Other Domestic Institutions2.16%
Retail and Others20.45%

Key Matrix of BEML Share

VALUATION RATIO

MetricValue
Price-to-Earnings (P/E) Ratio55.21
Price-to-Sales (P/S) Ratio4.00
Price-to-Book (P/B) Ratio6.03
Price-to-Cash Flow Ratio303.59
Enterprise Value to EBITDA38.18

PROFITABILITY RATIO

MetricValue
Gross Margin47.70%
Operating Margin9.78%
Net Profit Margin7.03%
Return on Equity (ROE)11.27%
Return on Assets (ROA)4.56%

PER SHARE DATA

MetricValue (INR)
Revenue per Share975.32
Earnings per Share (EPS)67.67
Book Value per Share647.99
Cash per Share17.65
Cash Flow per Share12.86

FINANCIAL STRENGTH 

MetricValue
Current Ratio2.28
Quick Ratio0.98
Debt-to-Equity Ratio0.24

EFFICIENCY RATIO

MetricValue
Asset Turnover0.75
Inventory Turnover0.88

dividend information

MetricValue
Dividend per Share20.50
Dividend Yield0.51%
Payout Ratio52.49%
BEML
Bharat Earth Movers Limited

Why should we consider BEML in our Portfolio 

BEML is a small CaP public sector company and it has given 5X return in last five years the total market cap the companies is below 12000 crore. as it is a small cap company, so the potential is to grow more in future. Having good order books from government of India and many more contracts from defense railway and Metro. Total book order as of March 2025 approximately 15,000 crore and this figure reflects the company robust position in securing contracts across its core sectors BEML has set a target to achieve an order book of 25,000 crore by end of the fiscal year 2025.

CONS of BEML

Dependence on government orders, a significant portion of BEML comes from government contracts. company works in heavy equipment, defends metro rail segment in these sectors it will face intense competitions from both domestic and international players.

Delay in payments since many clients of BEML are government agencies, delay payment can impact cash flow. Lower export preferences vulnerability to policy changes.

Declaration 

This blog is for educational purpose, and not to the recommendation to buy this stock before buying this stock. Contact your financial advisor and do your own research. 

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