Shares of defence companies were buzzing in trade yet again, with names like Hindustan Aeronautics, Mazagon Dock, Paras Defence, and Cochin Shipyard soaring 6-20 percent.
Barring the election result triggered meltdown, defence stocks have remained the flavour of the season for some time now, attracting investors thanks to their strong growth prospects and focus on indegenisation.
The recent wave of optimism for the sector has risen from Defence Minister Rajnath Singh's agenda to increase defence exports in the times to come. While assuming charge of the Defence Ministry for a second tenure, Rajnath Singh set an ambitious target to export over Rs 50,000 crore worth of defence equipment by 2028-2029.
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The defence minister also reiterated the government's focus on achieving self-reliance in defence manufacturing and modernisation of armed forces, avenues that carve a strong growth trajectory for defence companies.
Likewise, investors continued to lap up shares of defence companies, driven by the government's continued push towards defence indegenisation and focus on on opening up export opportunities.
At 1.41 pm, shares of Paras Defence were locked in 20 percent upper circuit following two large deals. Others like Hindustan Aeronautics, Mazagon Dock, Bharat Dynamics, Bharat Electronics and Cochin Shipyard were trading 3-7 percent higher.
Meanwhile, these defence names were also among the top gainers on the BSE PSU index, which also surged around 1 percent.
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