Shares of Bharat Heavy Electricals (BHEL) surged over 10 percent on Tuesday on twin effects of HSBC upgrading the stock and the company winning orders worth Rs 2,500 crore.

Share Market Live

NSE

The stock rose as much as 10.11 percent to Rs 55 per share on BSE. At 11:00 am, the stock was trading 7 percent higher at Rs 53.50 per share against a 0.40 percent or 151 points rise in BSE Sensex at 37,645.

According to a press release by BHEL, the company has successfully secured two more orders for emission control equipment for thermal power plants by NTPC.

"The orders involve supply and installation of Flue Gas Desulphurization (FGD) systems for 13 coal-based units at 2,600 MW Korba STPS Stage I, II & Ill in Chhattisgarh and 2,100 MW Ramagundam STPS Stage I & II in Telangana," the BSE filing added.

Meanwhile, HSBC upgraded BHEL due to steep correction, balance sheet strength and long-term growth potential. However, it sees near-term weakness in the stock. The global brokerage house slashed price target to Rs 60 from Rs 62 per share after lowering earnings estimate by 1-5 percent on lowered order inflow expectations.

Also, track all live market action on CNBC-TV18 Market Blog

Disclaimer: CNBCTV18.com advises users to check with certified experts before taking any investment decisions

First Published:Aug 27, 2019 11:37 AM IST