Hindustan Aeronautics Rallies On Mega Defence Order — Analysts Call It A ‘Blockbuster Sequel’ With Years Of Visibility

Shares of Hindustan Aeronautics (HAL) extended their winning run on Friday, building momentum after the defence major bagged a massive ₹62,370 crore order from the Ministry of Defence for 97 Tejas Mk-1A fighter jets. 

A Blockbuster Order With Ripple Effects

The new Tejas deal will stretch over six years, with deliveries beginning in 2027. The upgraded Mk-1A jets come with more advanced avionics, weapons and easier maintenance than earlier versions.

SEBI-registered analyst Pradeep Carpenter said the order gives HAL long-term visibility and strengthens its already full order book. 

Meanwhile, analysts at SEBI-registered A&Y Market Research described it as a “blockbuster sequel” for HAL, one that will generate jobs, lift revenues and benefit the company’s entire supply chain.

Fundamental View

Carpenter pointed to HAL’s sturdy balance sheet and healthy metrics: a market capitalization of around ₹3.15 lakh crore, earnings per share of ₹124.27, return on equity close to 24%, and no debt on its books. 

With a P/E ratio of 38 and a dividend yield of 0.85%, the company stands out among defence peers for its financial strength.

Technical View

Technically, Carpenter said it has firm support near ₹4,700, while resistance sits close to ₹4,965. If the stock clears that level, the next upside markers could be around ₹5,150 and even ₹5,500 under strong conditions.

Momentum signals are also positive. The Relative Strength Index (RSI) has turned higher from the mid-50s, while the Moving Average Convergence Divergence (MACD) indicator remains above its signal line, both signaling strength.

A&Y Market Research added that HAL has broken out of a “flag pattern,” a consolidation phase that often precedes further gains. They said the stock could briefly retest the ₹4,605–₹4,656 zone before pushing higher.

Defence Stocks In Spotlight

Beyond HAL, A&Y Market Research said defence has become one of the most promising themes in the market. 

A mix of global security concerns, India’s drive for self-reliance, and expectations of a government relief package are fueling the sector. 

What Is The Retail Mood?

On Stocktwits, retail sentiment for HAL was ‘bullish’ amid ‘normal’ message volume.

HAL’s stock has risen 15.1% so far in 2025.

For updates and corrections, email newsroom[at]stocktwits[dot]com.

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