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Today's prices ask more of Siemens India than of Bharat Electronics.
At current prices, buyers of Bharat Electronics are assuming about 25% growth against 16% in its own record; for Siemens India it is 35% against 14%. That shows which share needs more to go right — not which is cheaper. How far each trades from its estimated fair value is in the full valuations.
- Valuation method: both on discounted cash flow.
- Size: Bharat Electronics is worth about 2.3 times Siemens India on the stock market.
- Record: Bharat Electronics has grown revenue faster: Bharat Electronics compounded at about 13% a year (FY2018–FY2026) and Siemens India at about 9% (FY2018–FY2026).
- What to watch: order inflow at Bharat Electronics; industrial capex at Siemens India.
| Bharat Electronics | Siemens India | |
|---|---|---|
| Price | ₹401 | ₹3,660 |
| Market cap | ₹2.93L Cr | ₹1.30L Cr |
| P/E | 45.8 | 47.4 |
| P/B | 12.21 | 9.41 |
| Fair value 🔒 sign in | ₹0,000 | ₹0,000 |
| Upside 🔒 sign in | +00% | +00% |
| Valued on | Discounted cash flow | Discounted cash flow |
01Two businesses
The electronics inside India's defence
Bharat Electronics (BEL) is a state-owned defence electronics company based in Bengaluru and majority-owned by the Government of India. It makes radars, sonars, communication systems, electronic-warfare suites and the electronics for missile systems such as Akash.
Automation, rail and infrastructure
Siemens Ltd is the Indian listed arm of Germany's Siemens AG, which owns the majority. It sells factory-automation systems, electrical and building products, smart-grid equipment and rail technology, including locomotives and signalling.
02The records side by side
Bharat Electronics has grown revenue faster: Bharat Electronics compounded at about 13% a year (FY2018–FY2026) and Siemens India at about 9% (FY2018–FY2026). By revenue the two are of broadly similar size. Bharat Electronics kept 22.0% of revenue as net profit in FY2026; Siemens India kept 11.1% of revenue as net profit in FY2026 — a sign of very different business models.
Full ten-year tables and charts are on each company's page: Bharat Electronics · Siemens India.
03What each price assumes
Work backwards from each share price and you can see what buyers are taking for granted — the rate each company must sustain to justify what it costs, against what its own record supports.
04What decides each one's value
- Order inflowNew defence orders set revenue for years ahead.
- MarginsRising localisation and scale have lifted margins steadily.
- Industrial capexFactory and infrastructure investment drives demand.
- Rail ordersLarge locomotive and signalling orders add long-term revenue.
05What could go wrong
- One customerRevenue depends on India's defence budget and procurement.
- Order timingLarge orders can slip from one year to the next.
- Capex slowdownsWeaker private investment hits orders.
- Related-party pricingDealings with the parent affect margins.
06Which is better value?
Sign in free to see which trades further below its worth
- ✓Both fair values per share — each on the method that fits the business
- ✓Every step of both workings — growth, margins and cost of capital, with sources
- ✓Bull, base and bear cases — for each company
- ✓Downloadable reports — the full write-up for each, yours to keep
08Questions people ask
Is Bharat Electronics or Siemens India better value?
That turns on how far each share trades from its estimated fair value. Both figures, with every step of the working, are in the full valuations, free to view once you sign in. On the public numbers, Bharat Electronics trades at 45.8 times earnings and 12.21 times book value, and Siemens India at 47.4 times earnings and 9.41 times book value — but multiples alone mislead when two businesses work differently, which is why each is valued on the method that fits it.
What is the difference between Bharat Electronics and Siemens India?
Bharat Electronics (BEL) is a state-owned defence electronics company based in Bengaluru and majority-owned by the Government of India. Siemens Ltd is the Indian listed arm of Germany's Siemens AG, which owns the majority.
Are Bharat Electronics and Siemens India valued the same way?
Yes — both on discounted cash flow, so their workings compare like for like.
What does today's price assume for Bharat Electronics and Siemens India?
Worked backwards from the share price, Bharat Electronics needs about 25% growth and Siemens India about 35% growth, against 16% and 14% in their own records.