Premier Explosives share zooms 11% today; should you buy, sell or hold?

Premier Explosives shares surged after the Telangana Pollution Control Board (TGPCB) lifted the closure order on the company's factory in Katepally Village, Telangana.

Premier Explosives share price: Premier Explosives shares were buzzing in trade on Wednesday, September 17, 2025, with the scrip zooming up to 10.69 per cent to an intraday high of ₹605 per share.

 

Around 10:40 AM, Premier Explosive share price was trading 5.21 per cent higher at ₹575 per share. In comparison, BSE Sensex was trading 0.33 per cent higher at 82,654.35 levels.

What triggered the sharp rally in Premier Explosive Shares?

 

Premier Explosives shares surged after the Telangana Pollution Control Board (TGPCB) lifted the closure order on the company’s factory in Katepally Village, Motakondur Mandal, Yadadri-Bhuvanagiri District, Telangana. 

 

 

The order, originally issued following an accident on April 29, 2025, has now been revoked, allowing the company to resume production. 

 

In an exchange filing, premier Explosives said, “We wish to inform you that the Telangana Pollution Control Board (TGPCB), vide its communication (as received today), revoked the closure order (which was issued on account of an accident on April 29, 2025) for the Company's factory situated at Katepally Village, Motakondur Mandal, Yadadri-Bhuvanagiri District, Telangana, hence approving the resumption of production activities.”

 

Premier Explosives said that it will continue to comply with all conditions outlined by the TGPCB in its order.

 

Financially, Premier Explosives reported a 109.7 per cent jump in net profit to ₹15.35 crore for the quarter ended June 2025 (Q1FY26), up from ₹7.32 crore in the same period last year (Q1FY25). Revenue rose 71.6 per cent Y-o-Y to ₹142.15 crore.

 

At the operating front, Ebitda grew 35 per cent to ₹20.9 crore from ₹15 crore a year earlier, while Ebitda margins narrowed 400 basis points (bps) to 14.68 per cent from 18.48 per cent. 

 

The board also approved a capital raise of up to ₹300 crore through equity shares or other eligible securities via one or more public or private offerings. The fundraise could be executed through preferential allotment, qualified institutional placement, rights issue, further public offering, or other permissible modes, subject to shareholder and regulatory approvals. 

Premier Explosives stock: Buy, sell or hold?

 

According to Ajit Mishra, senior vice president of research at Religare Broking, Premier Explosives has shown a notable recovery after a prolonged corrective phase. The recent price action highlights a breakout from a consolidation range, supported by increasing volumes, which indicates renewed buying interest. Importantly, the stock is sustaining above its key moving averages (20, 50, and 200-day), signalling a shift in trend strength. The upward slope of the shorter-term averages adds further confirmation of bullish momentum. 

 

“On the upside, immediate resistance lies near the ₹600–630 zone, a breakout above which could trigger a strong rally towards ₹650 and beyond. On the downside, ₹540–525 levels act as crucial support, and as long as the stock sustains above these, the overall bias remains positive. Traders can look for buying opportunities on dips, while keeping a close watch on volume activity,” Mishra added.

 

Premier Explosives manufactures industrial explosives and detonators for mining, infrastructure, industrial, defence, and space applications. The company also provides operation and maintenance (O&M) services for solid propellant plants at ISRO’s Sriharikota Centre and the DRDO-managed Solid Fuel Complex at Jagdalpur. Furthermore, it supplies key missile programmes, including Akash, Astra, and LRSAM, and produces critical defence components such as pyrogen igniters, explosive bolts, and other ammunition. Additionally, it manufactures bulk and packaged explosives, detonators, and accessories for mining and infrastructure projects.