BHEL share price: Maharatna stock jumps 3% after receipt of ₹7,500 crore order win

Stock market today: Shares of public sector undertaking (PSU) Bharat Heavy Electricals Limited (BHEL) jumped over 3% in intraday trade on Friday, March 21, following a ₹7,500 crore order win from Gujarat State Electricity Corporation Limited (GSECL).

The Maharatna PSU company, engaged in the design, engineering, construction, testing, commissioning and servicing of a wide range of products and services, informed exchanges today that it has received a Letter of Intent (LOI) from GSECL for an EPC package of 1x800 MW Ukai Extn. Unit-7 in Tapi District, Gujarat.

The nature of the work involves the supply of equipment - boiler, turbine, generator and associated auxiliaries along with electrical and C&I, balance of plant packages; erection & commissioning works; and civil works.

The order is said to be executed within 54 months, with the total contract size worth approximately ₹7,500 crore.

Back-to-back order wins

The latest order update comes after two orders that the company won last month, amounting to nearly ₹12,900 crore.

On February 11, the company informed that it has won an order from Damodar Valley Corporation (DVC) for steam generator island package for 2 x 660 MW Raghunathpur Thermal Power Station Phase-II project at Purulia district, West Bengal. The order amounted to ₹6,200 crore.

Additionally, BHEL on February 14, said it has bagged an order worth ₹6,700 crore for EPC Package from Singareni Thermal Power Project, Stage II (1x800 MW) at Mancherial district, Telangana.

Stock trends higher

After today's order win, BHEL share price gained 3.48% to the day's high of ₹213.65 on the BSE. The stock opened flat but soon extended gains following the receipt of the LoI.

However, in the last one year, BHEL stock has lost 11% while BSE Sensex has gained 5% in the same period. Meanwhile, in the last two years, the scrip has surged 178%, giving multibagger returns to investors.

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