capital_goods
BEML Limited
BEML · Nifty 50
₹1,808.3
Price 2026-06-17
At a Glance
Fundamental
70/100
STRONG
Trust
95/100
Verification
Coverage
44/100
LIMITED
Quick Take
BEML Limited scores 70/100 on fundamentals (strong). BEML Limited: BROAD EXPANSION regime.
Fundamental Score: 70/100 · STRONG · 1 signals detected
DuPont Analysis
ROE 13.0% broken into three drivers. Each shows how efficiently the company generates returns.
ROE of 12.99% is moderate margin-driven and stable. Net margin of 7.4% × asset turnover of 0.74x × leverage of 2.4x.
What This Means
Net margin of 7.4% means the company keeps ₹7.4 as profit for every ₹100 of revenue. This is a moderate-margin business. Asset turnover of 0.74x means the company efficiently uses its assets to generate revenue. Leverage of 2.4x means the company uses moderate debt. Returns are primarily driven by operations, not borrowing.
Margin Structure
Gross
48.0%
Operating
11.5%
Net
7.4%
Gross margin 48.0% → operating margin 11.5% → net margin 7.4%. Margins are IMPROVING. Strong pricing power with stable gross margins suggests the improvement is from operating leverage — sustainable.
Financial Health
Earnings Quality
WEAKCash flow only covers 0.3x of net income — earnings quality is WEAK. Profit may not be converting to cash. Check receivables and inventory.
Debt Sustainability
COMFORTABLEInterest covered 12.2x — very comfortable. Debt service is not a concern. Debt/EBITDA at 0.5x is low — balance sheet has capacity.
Free Cash Flow
MODERATEFCF margin negative at -5.1% — spending more than earning. Check capex cycle.
Peer Comparison
BEML Limited is compared against 10 peers in the capital_goods sector.
Key Watchpoints
Breaks above ₹1899 (+5%)
Trend reversal confirmation
Breaks below ₹1718 (-5%)
Further downside risk
Capital_Goods sector entering leadership
Sector rotation signal
Detected Patterns
Risk Flags
Liquidity squeeze. Company may struggle to meet short-term obligations without refinancing.
OCF is only 0.3x net income. Profit not converting to cash — aggressive accounting possible.
Significant income from non-operating sources. Core business may be smaller than it appears.
High refinancing risk. Company needs to roll over debt frequently. Vulnerable to credit market freezes.
Working capital is consuming significant cash. Operational efficiency declining.
Collection cycle changing. Collection improving — positive for cash flow.
🔴 2 CRITICAL flags — significant concerns. Investigate before investing.
Data Quality
News Correlation
50 articles scanned for fundamental themes