HAL, BDL, BEL, MDL rally as PM Modi bats for 'Made in India' gears; stock picks, price targets

Defence stocks such as Hindustan Aeronautics Ltd (HAL), Bharat Dynamics Ltd and Bharat Electronics Ltd (BEL) surged up to 8 per cent in Tuesday's trade after the Prime Minister Narendra Modi emphasised the need for greater military self-reliance, stating that India has demonstrated its strength in modern warfare and should now take the lead in defence innovation through indigenous technology.

BDL soared 7.81 per cent to hit a high of Rs 1,692.35. HAL climbed 4.32 per cent to Rs 4,631.35. BEL advanced 4.28 per cent to Rs 336.60. Zen Technologies advanced 4.3 per cent to Rs 1,539.95. Data Patterns (India) Ltd added 2.45 per cent to Rs 2,442.75. Astra Microwave Products Ltd rose 2.79 per cent to Rs 892.15.  

Paras Defence and Space Technologies Ltd added 2.82 per cent to Rs 1,418.50. Ideaforge Technology Ltd edged 0.53 per cent up at Rs 494. 

"While we have seen limited ordering activity from MoD in April 2025, India has signed Rs 64,000 crore deal with France for 26 Rafale marine fighter jets. This apart, BEL has received Rs 3,000 crore contract for maintenance of Akash missile system and EW suits and GRSE has received contract worth Rs 490 crore from the Geological Survey of India," ICICI Securities said. 

Going ahead, the brokerage believes the contract for P-75 to Mazagon Dock Shipbuilders and 97 nos. additional Tejas Mk-1A to be signed shortly. 

"We list PTC Industries (TP: Rs 20,070; BUY), Solar Industries (TP: Rs 16,000; BUY) and Azad Engineering (TP: Rs 2,450; BUY) as our top picks in defence space. Among DPSUs, we recommend HAL (TP: Rs 5,000; BUY) and Midhani (TP: Rs 375; BUY) as our top pick," ICICI Securities said.

PTC Industries shares were up 1.3 per cent, Solar Industries India Ltd added 2.45 per cent, Azad Engineering Ltd gained 3.55 per cent and Mishra Dhatu Nigam Ltd climbed 4.12 per cent in today's trade. 

Antique Stock broking suggested a target of Rs 3,433 on Mazagon Dock, Rs 1,481 for Cochin Shipyard and Rs 2,024 for GRSE. It maintained its 'Buy' ratings on Mazagon Dock Shipbuilders Ltd and Garden Reach Shipbuilders & Engineers Ltd (GRSE) and suggested a 'Hold rating on Cochin Shipyard Ltd. 

The order book of listed defence shipyards are likely to swell over three times in the next two years, Antique Stock Broking said in its latest defence note.

Among defence shipyards, Mazagon Dock Shipbuilders (MDL) was up 3.7 per cent, Cochin Shipyard Ltd jumped 4.17 per cent while GRSE added 3.3 per cent. 

China defence stocks take hit

Meanwhile, shares of a couple of Chinese defence and defence-related companies took a beating after rallying in the past few days, after peace prevailed at India-Pakistan border following the ceasefire. Avic Chengdu Aircraft Co Ltd, the maker of Chinese jet J-10C and J-17, tanked 9 per cent to hit a low of 87.52 yuan. This stock surged a massive 62 per cent in the past five sessions. 

Maker of military-grade capacitors Zhuzhou Hongda Electronics Corp Ltd tumbled 6.34 per cent to 37.35 yuan. China Avionics Systems Co Ltd declined 1.91 per cent to 11.82 yuan. China State Shipbuilding Corporation, which builds military and civilian vessels, fell about 4 per cent.