Bharat Heavy Electricals Ltd (BHEL) shares touched their fresh 52-week low of Rs 102.40 and declined as much as 12 per cent in the morning trade on Friday after the company on Thursday posted standalone net loss of Rs 1,101.99 crore for the quarter ended December 31, 2015 due to higher expenses and lower revenues. The company had reported a net profit of Rs 212.60 crore in the year-ago period.
At 10.33 am, shares of BHEL were trading 10.51 per cent down at Rs 107.70. The scrip opened at Rs 115 and had touched a high and low of Rs 115 and Rs 105.80, respectively, in trade so far. Later, the share price of the company ended 12.13 per cent down at Rs 104.55 .
So far, around 11.36 lakh shares of BHEL exchanged hands on the BSE as compared with two-week average daily volume of 5.73 lakh shares.
Total income from operations declined by 14 per cent to Rs 5,325.57 crore in the October-December period compared to Rs 6,197.96 crore in the corresponding quarter last year.
According to Reuters, brokerage house Macquarie has cut the target on the stock to Rs 89 from Rs 114 and has maintained ‘Underperform’, saying companies’ results are “another disastrous set of numbers, much below our and street estimates”.
JP Morgan also called results “weakest in BHEL’s history” and said “it is still not too late to sell” and kept the ‘Underweight’ rating.