Elara Securities Favors BEML, Siemens, CG Power on Budget Boost for Defence, Railways

• Elara Securities' Harshit Kapadia highlights positive medium-term outlook for select companies due to increased budget allocations and clear policy direction.
• Defence budget sees a 17% year-on-year increase, with ₹2.31 lakh crore allocated and 75% for domestic procurement.
• Kapadia's top defence picks include BEML, Hindustan Aeronautics, Bharat Dynamics (PSUs) and Solar Industries (private).
• In railways, volume growth is concentrated in coaches (10% rise) and locomotives (7% rise), benefiting companies like BEML and Siemens.
• CG Power, ABB India, and HPL Electric & Power are poised to gain from higher electrification and cabling orders in the railway sector.

Why It Matters: Elara Securities identifies key beneficiaries like BEML, Siemens, and CG Power from increased defence and railway budgets.