After the easing of tensions between India and Pakistan, Prime Minister Modi has emphasized on ‘Made in India’ defence equipment. Following this, defence stocks witnessed a significant rally on Tuesday — shares of Bharat Dynamics rose 7.8%, BEL 4.5%, HAL 4%, Solar Industries 2.2%, and Mazagon Dock Shipbuilders 4%.
According to Motilal Oswal expert Ruchit Jain, ‘Made in India’ technology has increased investor confidence and the stock price can further increase. According to technical analysis, HAL and Mazagon Dock shares are showing bullish signs, but high volumes will have to be awaited for a breakout.
Modi explained that India has shown its strength in modern warfare and has implemented a zero-tolerance policy against terrorism. Defence production has reached Rs 1.27 lakh crore, a growth of 174% since 2014. Defence exports have also increased 30 times to Rs 21,083 crore.
Former Air Marshal S.B. Dev highlighted the successful steps towards defence self-reliance and the importance of indigenous projects. According to technical analyst Anshul Jain, there is a potential for upside in HAL and Mazgaon Dock shares and investors should invest only after proper confirmation.
