BHEL share price haS been on a steady decline over the past few years. However, in the past few months, there has been a slight uptick in the stock price. This is likely due to the company’s recent announcement of a new joint venture with GE. The new venture is expected to help BHEL tap into new markets and revive its fortunes.
Bharat Heavy Electricals Limited (BHEL) Share Price
Investors are still cautious about the stock, however, given the company’s past performance. BHEL has been struggling to compete in the global marketplace, and its share price has reflect that. Many believe that the new joint venture is a last-ditch effort to save the company. Time will tell if it is successful.
What does Bharat Heavy Electricals’ ROE tell us?
As you can see, Bharat Heavy Electricals‘ ROE is quite low. Even compared to the industry average of 10%, the ROE figure is pretty disappointing. Therefore, it’s not surprising that Bharat Heavy Electricals has seen a five year net income decline of 32%. We reckon that there could be other factors at play here too. For example, low earnings retention or poor allocation of capital.
Looking at Bharat Heavy Electricals’ ROE can give us some insight into how well the company is doing in terms of profitability. A high ROE indicates that the company is generating a lot of income from its equity, which is a good sign. However, it is important to note that there are other factors that can affect ROE, such as leverage.
Overall, Bharat Heavy Electricals’ ROE is a good indicator of the company’s profitability. However, it is just one metric and should not be used as the sole basis for investment decisions.