BHEL stock jumps 10% on Q4 FY26 profit surge

Stock hits upper circuit after results

Shares of Bharat Heavy Electricals Ltd (BHEL) surged sharply in late morning trade on May 4, 2026 after the company reported a strong set of Q4 FY26 numbers. In one update, the stock was locked at the 10 percent upper circuit at Rs 387.65 shortly after the results announcement. Other market reports said the rally extended close to 12 percent, taking the stock to a 52-week high of Rs 395.85. Another update from the day cited an intraday high of Rs 398.95 on the BSE, up 13.20 percent.

Q4 FY26 profit more than doubles year-on-year

BHEL reported a sharp jump in quarterly profitability compared with the same period last year. One report put Q4 FY26 net profit at Rs 1,283 crore versus Rs 504 crore a year ago. Another report cited consolidated net profit at Rs 1,290 crore, while a third cited Rs 1,290.47 crore compared to Rs 504.45 crore last year. Across the updates, the headline message was consistent: profit more than doubled, with year-on-year growth described as roughly 155-156 percent.

Earnings beat vs CNBC-TV18 poll estimate

The quarter also stood out because profit beat expectations by a wide margin. A CNBC-TV18 poll estimate had pegged Q4 FY26 net profit at Rs 826 crore, while reported profit was Rs 1,283 crore in that update. Revenue was closer to estimates but slightly lower in one poll comparison. Revenue was reported at Rs 12,310 crore versus a poll estimate of Rs 12,398.3 crore.

Revenue rises 37% to Rs 12,310 crore

Revenue momentum remained strong on a year-on-year basis. Revenue from operations was reported at Rs 12,310 crore in Q4 FY26, up 37 percent from Rs 8,993 crore in Q4 FY25. Another report put the comparable figures at Rs 12,310.37 crore versus Rs 8,993.37 crore, translating into 36.88 percent growth. Even with minor rounding differences across reports, the growth rate was consistently described as around 37 percent.

EBITDA more than doubles; margins expand

Operational performance improved meaningfully in the March quarter. EBITDA was reported at Rs 1,754 crore versus Rs 832 crore a year ago in one update. Another update cited EBITDA at Rs 1,753 crore versus Rs 831 crore in Q4 FY25. Margin expansion was also consistent across sources, with one report stating margins improved to 14.2 percent from 9.2 percent, and another reporting 14.24 percent versus 9.24 percent.

Other income rises and dividend recommended

Other income increased year-on-year, though the reported figure varied across updates. One report stated other income rose to Rs 252 crore from Rs 159 crore. Another cited other income at Rs 243.13 crore versus Rs 149.27 crore. Separately, BHEL’s board recommended a final dividend of Rs 1.40 per share for FY26, described as 70 percent on a face value of Rs 2 per share.

Key financial and market numbers (as reported)

Stock performance context: one-year and April rally

The results-day rally came after a period of strong performance in the stock. One report said BHEL stock had risen 70.2 percent over the past year, significantly outperforming the Nifty 50, which was down 0.9 percent over the same period. In earlier April data points cited in the provided material, BHEL settled at Rs 347.45 on April 27 and had gained nearly 42 percent from Rs 245.50 (March 30 close). That same April snapshot also cited market capitalisation above Rs 1.21 lakh crore.

Order book, turnover update, and visibility cues

Apart from quarterly results, the broader narrative around BHEL has included its order book and execution outlook. A business update cited provisional turnover of around Rs 32,350 crore for FY 2025-26, up 18 percent year-on-year. The company also reported securing fresh orders worth nearly Rs 75,000 crore, taking the total order book to about Rs 2.4 lakh crore. Another section in the provided information also described backlog of Rs 2.4 lakh crore and visibility for the next 5-6 years.

Brokerages: targets, ratings, and what they were watching

Brokerage commentary in late April indicated a wide range of views on valuation and near-term expectations. JM Financial revised its target price to Rs 393 with a ‘buy’ rating, citing expectations of a “beat on margins” and valuing the stock at a P/E of 32 times. Other targets mentioned included Antique Stock Broking at Rs 345 (buy) and ICICIDirect at Rs 343 (buy). PL Capital was cited with a ‘hold’ rating and a target price of Rs 245, while Kotak Institutional Equities was cited with a ‘sell’ rating and a target price of Rs 115.

What to watch next

For investors, the key incremental monitorables after the Q4 print are sustained execution, margin trajectory, and order inflows, given the size of the reported order book. The recommended final dividend of Rs 1.40 per share for FY26 is also a concrete corporate action to track through subsequent approvals and timelines. With the stock reacting strongly and touching levels near Rs 395-399 in intraday trade, the next set of official updates and management commentary will matter for clarity on execution pace and margin durability.