Defence Stocks Rally Amid Geopolitical Tensions

Defence stocks in India witnessed a significant rally, with gains ranging from 5% to 11.5% on April 28. This surge is attributed to escalating tensions between India and Pakistan, alongside the anticipated announcement of the Rafale-M fighter aircraft agreement.

Key Players and Market Movements

Companies like Paras Defence, Garden Reach Shipbuilders, and Hindustan Aeronautics saw substantial gains. The Nifty India Defence index overall increased by more than 4%, signaling a bullish trend in the defence sector.

Expert Insights and Investment Advice

Experts suggest that while the current tensions may offer short-term gains, investors should look for companies with strong financial health and alignment with India's defence priorities for long-term investments. Firms such as BEL and Bharat Dynamics are highlighted for their robust order books and reasonable valuations.

The views and recommendations provided are those of the analysts and do not reflect the stance of The Times of India.