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BEML Limited (BEML) Fair Value & Analysis

Industrials · IN · Market cap ₹145B

BL BEML Limited BEML · NSE
Price₹1,901
Fair Value₹245.25
Upside-87.1%
Quality29/100
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Expensive Growth
Thin margins · 3.3% net margin
Low debt · negative free cash flow
0.31% dividend yield
Trails peers (5/14)
Narrow moat 36/100
Evidence: High Range ₹183.94 – ₹306.56 Share as image

Fair value as of: Aug 2, 2026

From 7 valuation models · updated 11 days ago

Share price +0.8% over the past month.

Below-average quality, and screening another 87% overvalued on our models.

What matters now

  • The price sits above even our optimistic bull case (₹306.56). The favourable scenario is already priced in.
  • Weak quality (29/100) and above fair value at the same time, the margin of safety is missing on both counts.
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Price vs Fair Value (5 years)

₹996,967 ₹461.65 Fair Value ₹245.25 Apr 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 2, 2026.

How to read this chart

60‑month range ₹461.65 – ₹996,967 · fair‑value band ₹183.94 – ₹306.56 · the ₹1,901 price screens above the ₹245.25 fair value. Dashed = 300-day average. As of Aug 2, 2026.

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Analysis

BEML Limited (BEML) currently trades at ₹1,901, while our model-based Fair Value estimate is ₹245.25, implying the stock looks roughly 87.1% overvalued today. The Quality Score stands at 29/100 (below-average quality), in the Industrials sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: high).

Over the trailing twelve months, BEML Limited generated revenue of ₹43.5B at a net margin of 3.3%. Revenue grew 8.6% year over year. It earns a return on equity of 4.9%. Net debt stands at ₹3.0B. Fundamentals as of Aug 2, 2026

Our scenario range runs from ₹183.94 (bear case) to ₹306.56 (bull case); at ₹1,901, the current price sits above that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. For context, the median of 10 Industrials peers we cover trades at -11% fair-value upside, at -87%, BEML screens richer than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Model Bear Bear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull Bull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. Evidence
Highest evidence
Residual Income ₹270.61 ₹274.98 ₹263.03 76
Gordon GGM ₹98.13 ₹181.02 ₹292.63 70
P/E Multiple ₹267.31 ₹356.42 ₹445.52 63
All 7 models by family
Earnings-Based
Graham-Dodd ₹115.41 ₹285.10 ₹369.36 54
Dividend Discount
Gordon GGM ₹98.13 ₹181.02 ₹292.63 70
DDM Multi-Stage ₹98.13 ₹147.92 ₹202.13 61
Multiples
P/E Multiple ₹267.31 ₹356.42 ₹445.52 63
P/B Multiple ₹216.40 ₹288.53 ₹360.66 55
Asset-Based
NCAV (Graham) ₹176.12 ₹236.00 ₹352.24 50
Economic Profit
Residual Income ₹270.61 ₹274.98 ₹263.03 76

Widest divergence: Multiples (₹288.53) versus Dividend Discount (₹147.92). Highest evidence: Residual Income (76).

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Key figures & financial health

Revenue (TTM) ₹43.5B
Revenue growth (YoY) +8.6%
Net margin 3.3%
Return on equity 4.9%
Free cash flow −₹2.6B FY2026
P/E ratio 102.8
More key figures
Operating margin 13.9%
EPS (TTM) ₹16.96
Dividend yield 0.3%
EPS growth (YoY) -37.5%
Net debt ₹3.0B FY2026

Figures from reported company fundamentals · as of Aug 2, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 29/100

Of which business quality 30 · Market factors (momentum, volatility) 35

Profitability 35
Margins and returns on capital today
Quality Growth 20
Are margins and returns improving?
Cashflow 11
Earnings quality: real cash, not paper profit
Fin. Strength 57
Balance sheet, leverage, solvency risk
Investment 57
Disciplined investing over empire-building
Low Volatility 43
Calm price path (market factor)
Momentum 41
Price trend over the last 3–12 months (market factor)
52W Momentum 15
Distance to the 52-week high (market factor)
Net Issuance 0
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

About the company

BEML Limited provides products and services to the mining and construction, rail and metro, power, and defense and aerospace sectors in India.

Full company description

BEML Limited provides products and services to the mining and construction, rail and metro, power, and defense and aerospace sectors in India. The company offers high mobility vehicles, combat mobility vehicles, 1500 horsepower engines, aggregates for combat vehicles, aircraft towing tractors, aircraft weapon loaders, ground support and handling equipment, tank transportation trailers, milrail wagons, rocket motor casings for missiles, airborne structures and assemblies, and construction equipment for the defense and aerospace industries. It also provides bulldozers, dump trucks, excavators, shovels/walking dragline, water sprinklers, motor graders, loaders, pipe layers, wheeled dozers, and tyre handlers to the mining and construction industries. In addition, the company offers metro cars, electrical multiple units, maintenance vehicles, passenger trains, steel and aluminum wagons, and treasury vans to the rail and metro industries. It also exports its products. The company was formerly known as Bharat Earth Movers Limited. BEML Limited was incorporated in 1964 and is based in Bengaluru, India.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2022 – FY2026 · reported fiscal years

BEML Limited reported revenue of ₹43.5B in FY2026 versus ₹43.4B in FY2022, a compound +0.1%/yr. Reported net income was ₹1.4B in FY2026, compounding +2.4%/yr from FY2022.

Growth Quality 34/100
The company is growing, but growth may require heavy reinvestment or weak cash conversion.
Latest Revenue (FY 2026)
₹43.5B
Latest YoY
+7.5%
Avg. growth/yr (3Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+3.7%
Avg. growth/yr (5Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+3.9%
Avg. growth/yr (26Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+4.7%
Revenue +0.1%/yr
FY22 ₹43.4B
FY23 ₹39.0B
FY24 ₹39.7B
FY25 ₹40.5B
FY26 ₹43.5B
Net income +2.4%/yr
FY22 ₹1.3B
FY23 ₹1.6B
FY24 ₹2.8B
FY25 ₹2.9B
FY26 ₹1.4B
Character of growth · EPS growth decomposed (2015-2026) +15.8 % p.a.
Revenue per share +1.3 pp

of which total revenue +4.6 pp · buybacks/dilution −3.3 pp

EBIT margin +18.0 pp
Tax rate −1.8 pp
Residual (interest, one-offs) −1.7 pp

Absolute contributions in percentage points per year; they sum to the EPS growth rate. Start and end points are 3-year averages (details on hover).

BEML screens 87% overvalued. Compare with CITIC Limited →

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Cite: Fair Value Calculator (2026). "BEML Limited Fair Value". https://www.fairvalue-calculator.com/stock/BEML

Peer Group

Conglomerates · 375 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 29 · Bottom 25%
Fair Value upside −87% · Bottom 25%
Return on equity (TTM) 5% · Below median
Return on assets 2% · Above median
Net margin (TTM) 3% · Below median
Operating margin (TTM) 14% · Top 25%
Revenue growth 9% · Above median
Dividend yield (TTM) 0.3% · Bottom 25%

Valuation Multiples vs Conglomerates median · lower = cheaper

P/E (TTM) 102.8× · Pricier than 75% of peers
P/B 4.95× · Pricier than 75% of peers
P/S (TTM) 3.34× · Pricier than 75% of peers
EV/EBITDA 48.6× · Pricier than 75% of peers
PEG 1.06× · Cheaper than median

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUE 0 · sector 23
FUTURE 43 · sector 17
PAST 19 · sector 20
HEALTH 100 · sector 89
DIVIDEND 6 · sector 39

VALUE 0: the price sits above our fair-value range.

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

Similar stocks

10 more Conglomerates stocks, each showing price versus our Fair Value estimate (as of Aug 2, 2026).

Stock Price Fair Value vs Fair Value
CITIC Limited 0267 HK$11.28 HK$22.56 +100%
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Koç Holding KCHOL 205.80 TRY 182.26 TRY -11%
The Siam Cement Public Company SCC 254.00 THB 199.40 THB -21%
SRF Limited SRF ₹2,875 ₹1,053 -63%
Empresas Copec S.A COPEC 6,330 CLP 10,879 CLP +72%
Posco International Corporation 047050 50,900 KRW 61,248 KRW +20%
Tube Investments of India Limited TIINDIA ₹2,940 ₹559.30 -81%
Doosan Corporation 000155 464,000 KRW 75,620 KRW -84%

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Frequently asked questions

Is BEML Limited (BEML) overvalued or undervalued?
As of Aug 2, 2026, our model estimates a fair value of ₹245.25 versus a price of ₹1,901, about −87% (overvalued).
What is the fair value of BEML?
Our model-based fair value for BEML Limited is ₹245.25 (as of Aug 2, 2026), built from audited fundamentals. The current price is ₹1,901.
What is the quality score of BEML?
BEML Limited has a Quality Score of 29/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the revenue of BEML Limited (BEML)?
BEML Limited reported trailing-twelve-month revenue of about ₹43.5B (latest available figure, as of Aug 2, 2026).
What is the net profit margin of BEML?
The net profit margin of BEML Limited is about 3.3%, meaning it keeps roughly 3.3% of revenue as net income. Based on the latest reported figures.
Does BEML Limited pay a dividend?
BEML Limited currently shows a dividend yield of about 0.31% relative to its recent price (as of Aug 2, 2026).

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.

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