BHEL shares rise 6%, hit 52-week high; here’s why
Bharat Heavy Electricals (BHEL) share price witnessed a robust uptick, surging by almost 6% to reach a new 52-week high of ₹205 on the NSE on Monday. This surge was followed by a media report revealing that the state-owned engineering company has secured the position of the top bidder for a substantial ₹19,422-crore turnkey contract. The contract involves the construction of a thermal power plant for NLC India in Talabira, Odisha.
Also read: Adani Group stocks rise 4% on first day of new year; what's driving the rally? According to a report by Hindu Business Line, BHEL emerged as the top bidder, surpassing L&T-MHI, following the unveiling of financial bids on Friday. BHEL is set to construct three ultra supercritical units, each with a capacity of 800 MW, for NLC India at Talabira, the report said. The report suggests that NLC has included a fourth 800 MW unit in the project, with the EPC tender originally covering the initial three units.
The report does not clarify whether a separate tender will be issued for the fourth unit. Also read: Profitmart sees 30% upside in Share India Securities shares in 18 months. Should you buy? The surge in stock price was accompanied by robust trading volumes, with over 6 crore shares exchanged on the NSE by around 1:30 pm, amounting to a traded value of ₹1,220.57 crore.
The current price movement has pushed the stock into an overbought zone, as indicated by momentum indicators RSI and MFI, standing at 70.6 and 76.4, respectively, according to Trendlyne. Numbers above 70 are typically considered as overbought, while those below 30 suggest oversold conditions. The stock has yielded impressive returns of over 150% over the past year, surpassing the Nifty, which registered a comparatively
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