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.

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