Disinvestment apart, BEML is anyway a good play on metro rail, defence

A growing executable order book and reasonable valuations make it a good investment

Public sector major BEML remains in the news on account of the government’s decision on strategic disinvestment of its stake in the company, which could mean some value unlocking for investors. 

Analysts say that while the divestment theme could be played out, the company’s business prospects themselves make BEML a good investment. 

This is despite the company — which makes heavy equipment for transportation, mining, construction and other sectors — having seen its stock rebound by about 50 per cent since its August lows of Rs 644.

BEML’s growing order book stands at close to Rs 9,600 crore, and provides revenue visibility for