Ambit retains sell rating on BHEL, stock down 1.4%

Bharat Heavy Electricals  (BHEL) lost around 1.4 percent as Ambit retained its sell stance on BHEL and cut earnings estimates for FY14 and FY15 by 3-19 percent with a  target price to Rs 159 per share, reports CNBC-TV18.

According to Ambit discussions with consultants and the marketing teams of several Boiler Turbine Generator (BTG) companies suggest that BHEL will face further pain. This is owing to: (a) no visible signs of industry consolidation, (b) serious challenges in order execution, (c) marginal improvement in pricing since the NTPC bulk tender orders, and (d) complete apathy from the private sector on adding new capacities

At 10:43 hrs Bharat Heavy Electricals was quoting at Rs 180.20, down Rs 2.65, or 1.45 percent. It has touched an intraday high of Rs 181.50 and an intraday low of Rs 178.75. It was trading with volumes of 100,290 shares
 
In the previous trading session, the share closed down 1.16 percent or Rs 2.15 at Rs 182.85.