A leading missile manufacturer secured a Rs. 809 crore order from Armoured Vehicles Nigam, boosting its strong Rs. 22,700 crore order book. analysts maintain cautious optimism, citing long-term growth potential and a scalable defense-focused business model.
The shares of the prominent ammunition and missile manufacturer in focus after the company bagged a prestigious work order from Armoured Vehicles Nigam Limited worth Rs 809 crore.
With a market capitalization of Rs 60,528.63 crore, the shares of Bharat Dynamics Ltd were trading at Rs 1,651.25 per share, decreasing around 2.85 percent as compared to the previous closing price of Rs 1,697.80 apiece.
Order Inflow
The shares of Bharat Dynamics Ltd have seen bearish movement despite bagging a prestigious work order worth Rs 809 crores from Armoured Vehicles Nigam Limited, for the supply of one of the Anti-Tank Guided Missile (ATGM). The order to be executed in a span of 3 years. The company doesn’t mention more information because of confidentiality in view of the National Security.
During the financial year 2025, Bharat Dynamics won orders worth Rs. 6,668 crore, and its order book as of April 1, 2025, stood at Rs. 22,700 crore. Additionally, Motilal Oswal initiated coverage on the stock with a “neutral” rating and a target price of Rs 1,900, indicating a potential upside of 15% from current levels. This suggests cautious optimism, reflecting both growth potential and valuation considerations in the brokerage’s investment outlook.
The investor expressed confidence in the company’s scalable business model and strong order book growth potential. However, it remains cautious due to current fair valuations and prefers lower entry points, indicating a watchful yet optimistic stance on long-term investment opportunities in the firm.
In Q4FY25, the company’s net profit declined 5.5% YoY to ₹272.7 crore, while revenue more than doubled to Rs 1,777 crore from Rs 854 crore. However, EBITDA fell 5.5% to Rs 299 crore, and margins shrank significantly to 16.83% from 37.04%, indicating rising operational costs despite strong topline growth.
Bharat Dynamics Limited is an India-based company that is engaged in the manufacturing of missiles and allied defense equipment. The Company provides the majority of its goods and services to the Indian Armed Forces and the Government of India.
Written by Abhishek Singh
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