India’s defence sector has witnessed a massive surge in market capitalisation, adding ₹1.2 lakh crore over the last 12 trading sessions. Leading defence companies, including Hindustan Aeronautics Ltd (HAL), Bharat Electronics Ltd (BEL), Mazagon Dock Shipbuilders Ltd, and Garden Reach Shipbuilders Ltd, have driven this rally, reflecting strong investor confidence and sectoral growth.
Top Performers in the Defence Sector
- Hindustan Aeronautics Ltd (HAL): 14% surge, adding ₹38,227 crore.
- Bharat Electronics Ltd (BEL): 16% rise, contributing ₹34,173 crore.
- Mazagon Dock Shipbuilders Ltd: 16% growth, adding ₹16,824 crore.
- Bharat Dynamics Ltd: 25% increase, contributing ₹12,921 crore.
- Garden Reach Shipbuilders Ltd: 35% jump, making it the biggest percentage gainer.
Factors Driving the Rally
The surge in defence stocks comes amid rising geopolitical tensions and India’s push for indigenous defence manufacturing. The recent Operation Sindoor, where India’s defence forces successfully thwarted cross-border threats, has further strengthened investor sentiment.
Additionally, India’s defence exports have surged to ₹23,622 crore in FY25, marking a 12% increase from the previous year. The Ministry of Defence has set an ambitious target of ₹50,000 crore in exports to over 80 countries by 2029, reinforcing the sector’s long-term growth potential.
Market Outlook & Future Prospects
With strong quarterly earnings and government-backed initiatives, analysts remain bullish on defence stocks. Companies like HAL, BEL, and Garden Reach Shipbuilders are expected to continue their upward trajectory, driven by robust order books and expansion plans.
For more updates on defence stocks and market trends, stay tuned!
