Motilal Oswal said the new order lifts Bharat Electronics’ order book above ₹1 trillion and reaffirmed its ‘Buy’ rating with a target price of ₹490.
Shares of Bharat Electronics (BEL) rose nearly 2% on Monday after the Indian Army issued a tender worth nearly ₹30,000 crore for the QRSAM (Quick Reaction Surface-to-Air Missile) project, also known as ‘Anant Shastra.’
The Army’s QRSAM project involves procuring 5–6 regiments of the indigenously developed missile systems, with Bharat Electronics designated as the lead integrator.
The project, developed by the Defence Research and Development Organisation (DRDO), was approved by the Defence Acquisition Council in May 2025, shortly after Operation Sindoor.
The QRSAM system is designed to strengthen India’s short-range air defense capability and can search, track, and engage targets while on the move.
The mobile missile system has a firing range of around 30 kilometers and will complement existing MRSAM and Akash systems.
Brokerage View
Motilal Oswal, which maintained its bullish stance on the stock, said the new order lifts Bharat Electronics’ order book to more than ₹1 trillion.
The brokerage added that the company is also likely to benefit from several upcoming projects, including next-generation corvettes, electronic warfare programs, follow-on orders for electronics for 97 Tejas Mk1A aircraft, and loitering munition programs.
Analysts at Motilal Oswal retained their ‘Buy’ rating on BEL with a target price of ₹490, valuing the company at 45 times September 2027 estimated earnings.
They expect the execution of the QRSAM order to begin in FY27, with missile manufacturing orders expected to flow through to Bharat Dynamics Ltd (BDL).
Pipeline Of Defence Orders
Beyond the QRSAM project, Bharat Electronics is expected to benefit from multiple large-scale defence programmes over the next 12–18 months.
These include next-generation corvettes, multiple subsystem orders for the MF-STAR radar programme, and electronic warfare systems such as Shatrughat and Samaghat.
The company is also well-positioned to benefit from emergency procurement programs and future projects, such as the Advanced Medium Combat Aircraft (AMCA) initiative, which could further strengthen its growing order pipeline.
Technical Outlook
SEBI-registered analyst Sunil Kotak said Bharat Electronics remains one of the few stocks that continue to show a bullish trend on the charts. On the weekly chart, the stock’s Relative Strength Index (RSI) stands at 62, confirming positive momentum.
Kotak said the stock has strong support around ₹385–₹390, while resistance lies near ₹420–₹425. He noted that the broader sector bias remains positive over the long term, with BEL among the stronger names in the defence space.
What Is The Retail Mood?
On Stocktwits, retail sentiment for BEL was ‘bullish’ amid ‘normal’ message volume.
BEL’s stock has risen 37.1% so far in 2025.
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