CMP: 387


Bharat Heavy Electricals Limited manufactures power plant equipment. The Company's products include gas turbines, generators, thermal sets, diesel shunters, turbo sets, hydro sets, power transformers, switch gears, circuit breakers and boilers. The Company also manufactures compressors, valves, rectifiers, pumps, capacitors, oil rigs, as well as castings and forgings.

BHEL is a safe large cap buy. Its currently trading 25% off its 52 wk highs of 2700 and is trading close to its 52 wk low of 1900. It has bounced back from 1900 before and should act as a strong support level. Its fundamentally very impressive. It has grown 50% Year on Year in the last 2 years. Its currently trading at a P/E of little less than 16. NPM is good and stable at 15%. Its a strong buy at current levels.