Defence Stock in Focus After Goldman Sachs Sees ₹27,000 Cr Order Book Target Being Met

Synopsis:- Shares gained over 1% after a recent ₹1,010 crore order, taking FY26 inflows to ₹21,620 crore. With a strong ₹73,450 crore order book and expected ₹8,400–9,400 crore pipeline, the company is on track to achieve its ₹27,000 crore guidance, supported by strong analyst confidence.

The shares of the prominent aerospace and defence electronics manufacturer gained up to 1.17 percent from the intraday low after Goldman Sachs expects the company to meet its management guidance of Rs 27,000 crore in order inflows for FY26.

With a market capitalisation of Rs 3,25,138.96 crore, the shares of Bharat Electronics Ltd were trading at Rs 445.35 per share, increasing around 1.30 percent, as compared to the previous closing price of Rs 439.65 apiece.

Recent Significant order

The shares of Bharat Electronics Ltd have seen positive movement, as the company recently securing additional orders worth  Rs 1,010 crore for a range of defence and technology systems, including communication equipment, radar warning receivers, fire control systems, electro-optic sights, fire detection and warning systems for fighter aircraft, high-energy lasers, automatic train supervision systems, head-up displays, and software solutions. With this, the company’s total order inflow for FY26 so far stands at  Rs 21,620 crore.

The brokerage noted that the current figure does not include several large anticipated orders, such as the first tranche of the NGC project worth ₹3,000–4,000 crore, the ₹3,000 crore Shatrughat project, and ₹2,400 crore LRU orders for light combat aircraft, expected to be finalised in Q4 FY26.

Taking these factors into consideration, Goldman Sachs expects the company to achieve its FY26 order inflow target of ₹27,000 crore. Out of 32 analysts tracking the stock, 27 have a ‘Buy’ rating, while 2 suggest ‘Hold’ and 3 recommend ‘Sell’.

Order Book

Bharat Electronics Ltd maintains a strong order position, with its order book standing at  Rs 73,015 crore as of 1 January 2026 and rising to  Rs 73,450 crore by 28 January 2026. Order inflows reached  Rs 19,300 crore during the same period. Management remains confident of achieving or exceeding FY26 guidance without formally revising targets upward.

Q3FY26 Highlights

Recently, the company announced its financial performance in Q3FY26, in which revenue increased by 24 percent on a year-on-year basis from Rs 5,770 crore in Q3FY25 to Rs 7,153.85 crore in Q3FY26. However, on a Quarter-on-Quarter basis, revenue increased by 24 percent from Rs 5,792 crore in Q2FY26 to Rs 7,153.85 crore in Q3FY26.

Moreover, the company delivered strong profit growth in Q3FY26, with net profit rising 21% year-on-year to  Rs 1,579 crore, reflecting improved operational performance. On a sequential basis, profit increased 23% quarter-on-quarter, supported by higher execution, better cost control, and sustained margin strength during the quarter.

BEL reported a 27.3% year-on-year rise in EBITDA to  Rs 2,127 crore from  Rs 1,670 crore. Better cost control and operating leverage led to margin improvement, with operating profit margin expanding to 30% from 29% a year ago, underscoring sustained profitability momentum.

Bharat Electronics Limited (BEL) is a leading Indian defence electronics company and a Navratna PSU. It designs and manufactures advanced electronic systems for defence and aerospace applications, with a growing presence in non-defence segments such as homeland security, smart cities, and space electronics, supporting India’s self-reliance and technological advancement.

Disclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on tradebrains.in are their own, and not that of the website or its management. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Trade Brains Technologies Private Limited or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.

The post Defence Stock in Focus After Goldman Sachs Sees ₹27,000 Cr Order Book Target Being Met appeared first on Trade Brains.