MULTIBAGGER-BEL

BEL

(CMP as on date 3-04-2015:3495)

BEL, a Karnataka based Electronics Company, with major exposure into the defense space. This stock had witnessed a stellar rally in 2014 and first 2 months of 2015.

Let us see why should you buy this stock?

                                                             Four simple straight reasons:

VALUATION	BALANCE SHEET	PARENTAGE	FUTURE OUTLOOK
1.FACE VALUE: 10	1.DIVIDEND YIELD: 0.67%	1.PROMOTER: 75.02%	1. DEFENSE EXPENDITURE.
2.MARKET CAPITAL:27969.2 CR	2.DEBT: 12.61 CR	2.FII: 2.31%	2. MAKE IN INDIA.
3.PE: 25.25	3.ASSETS: 7029.85 CR	3.DII: 17.82%	3. BOOST TO ELECTRICAL INDUSTRY.
4.BOOK VALUE: 877	4.ESC: 80 CR	4.OTHER: 4.85%
5.EPS: 138.45	5.RESERVES: 6937.24 CR
6.INDUSTRY PE: 28.73

The PE for the company is 25.25 as compared to industry average of 28.73. With EPS of 138.45 the stock is not yet expensive.

Total debt is 12.71 cr versus assets of 6937.24 cr. Reserves of 6937.24 cr add to the healthy balance sheet of this dividend paying company. The company is well stabilized with promoter holding 75% of ESC, with entire 75% being Government holding.

The future outlook for BEL is strong keeping in mind the defense expenditure, the Government is planning to make. BEL is also a beneficiary to the Make In India project. With Government's recent steps to boost the electrical industry, the stock can be a perfect choice for your portfolio.

Use this 700 points correction to accumulate the stock in staggered manner for targets of 6500.