Defence stocks in focus; MTAR, Mazagon Dock, GRSE soar up to 9%; here's why

Defence Stocks Today: At 11:03 AM on Friday; Nifty India Defence index was up 1.3 per cent, as compared to 0.24 per cent decline in the Nifty 50.

Shares of defence companies today

 

Shares of defence companies public as well as private were trading on a firm note, and rallied up to 9 per cent on the BSE in Friday’s intra-day deals on the back of positive corporate announcements.

 

At 11:03 AM; Nifty India Defence index was up 1.3 per cent, as compared to 0.24 per cent decline in the Nifty 50. The defence index rallied 2 per cent in intra-day trades.

 

MTAR Technologies, Mazagon Dock Shipbuilders (MDL), Garden Reach Shipbuilders & Engineers (GRSE), Cochin Shipyard, Bharat Dynamics and Dynamatic Technologies were up between 2 per cent and 9 per cent in intra-day trades. Paras Defence and Space Technologies, Bharat Electronics (BEL), Hindustan Aeronautics and BEML were up 1 per cent each.

 

Why are defence stocks in focus on Friday?

 

Among individual stocks, MTAR Technologies hit a 52-week high of ₹2,742, soaring 9 per cent in intra-day deals on expectation of strong earnings in the second half (October to March) of the financial year 2025-26 (H2FY26). The stock surpassed its previous high of ₹2,715 touched on November 21, 2025. In the past one week, the stock has rallied 15.5 per cent, while in the past four months it zoomed 94 per cent.  ALSO READ | BEL, HAL, GRSE among 5 defence stocks to buy ahead of Budget 2026: Analysts

 

While announcing its Q2 results on November 5, 2025, the management of MTAR said that they look forward to a significantly strong performance in the second half of FY26, with revenue expected to nearly double compared to the first half. The company anticipates around 30 per cent – 35 per cent year-on-year revenue growth in FY26 compared to FY25, exceeding earlier guidance of 25 per cent, driven by additional order inflows from the customers that are slated for execution within this fiscal year.  Furthermore, the management reaffirmed its EBITDA margin guidance of around 21 per cent supported by a stronger margin profile in H2 due to operating leverage and higher capacity utilization. 

BEL wins order worth of ₹596 crore

 

Meanwhile, BEL on Thursday, January 8, 2026, after market hours announced that the company secured additional orders worth ₹596 crore since its last disclosure on January 1, 2026. The new orders include drone detection and jamming systems, mobile communication terminals, software solutions, along with upgrades, spares and related services, further strengthening its defence electronics order book.

 

With these orders, BEL has now accumulated orders worth ₹18,740 crore in the year-to-date financial year 2026 (YTDFY26). Order backlog is estimated to be ₹78,600 crore (3.1x TTM revenue), and provides healthy revenue visibility, according to ICICI Securities.

 

The company's management had guided order inflows of ₹27000+ crore for full year FY26 (excluding ₹30,000 crore worth of QRSAM contract which is also likely to be placed by FY26E end). Growth prospects continue to be healthy for BEL, driven by a solid backlog, a strong flow of new orders, and better execution capabilities, the brokerage firm said.

 

Contract for six submarines under P-75(I) programme expected to signed by March 2026

  Meanwhile, according to media reports, the contract for the six submarines under P-75(I) programme is expected to be signed by March 2026. Under this, MDL is set to play a central role in a proposed submarine manufacturing as India and Germany work toward a defence deal valued at over $8 billion (₹72,000 crore).

 

MDL would partner with Thyssenkrupp Marine Systems to domestically build advanced conventional submarines with air-independent propulsion, including transfer of critical manufacturing technology. If finalised, the project would be executed in India and mark a major expansion of the company’s submarine construction capabilities, ICICI Securities said. 

Astra Microwave Products wins orders worth of ₹275.27 crore

 

Astra Microwave Products informed that Astra Rafael Comsys Private Limited, a joint venture company has received orders worth ₹275.27 crore from the Indian Air Force. The orders cover integration of Software Defined Radios (SDR) on MiG-29 aircraft, installation of Network Centric Applications on MiG-29 platforms, and procurement of 24 SDRs for the LCA Mk-1A aircraft.