Shares of Bharat Electronics remained higher for the second consecutive day on Thursday, June 18, surging 6% to hit a three-week high of ₹430 apiece. Today’s rally built on a 3 % jump in the previous session, taking the stock’s cumulative gain over the last two days to 7%.
Defence stocks have been buzzing lately after the government announced that India’s annual defence production reached a record ₹1.78 lakh crore in FY26, marking a 15.4% increase from the previous fiscal year. Notably, defence production had crossed the ₹1.5 lakh crore mark for the first time in FY25, reaching ₹1.54 lakh crore.
According to the Ministry of Defence, Defence Public Sector Undertakings (DPSUs) and other public-sector entities accounted for around 76% of total defence production in FY26, while the private sector contributed the remaining 24%.
Defence production has surged 125% since FY20, when it stood at ₹79,071 crore. The sector has received a significant boost in recent years through higher budget allocations, which have expanded order opportunities for domestic defence companies and strengthened India’s military preparedness amid rising geopolitical tensions.
India’s domestically manufactured defence products are also gaining traction in global markets, with defence exports hitting a record ₹38,400 crore in FY26, a massive 63% jump from ₹23,622 crore in FY25. The government is now targeting annual defence exports of ₹50,000 crore by 2029, further expanding India’s global defence footprint.
Demand for the BrahMos missile surged after it played a key role in Operation Sindoor, targeting Pakistani military infrastructure, including air bases, army cantonments, and terror camps.
The latest data reinforces the government’s commitment to reducing dependence on imports and making domestically manufactured defence products more competitive on the global stage. Last year, the government unveiled a comprehensive 15-year defence modernisation plan, marking a significant step forward in enhancing the country’s military capabilities.
The ambitious roadmap focuses on integrating advanced technologies such as artificial intelligence (AI), hypersonic missiles, nuclear propulsion, and directed-energy weapons across the Army, Navy, and Air Force.
Bharat Electronics share price trend
The company’s shares have remained volatile recently after a prolonged upward run during which the stock delivered substantial returns to shareholders.
With today’s high, the stock’s month-to-date gain expanded to 4%, as it attempts to recover from last month’s losses.
Between March 2023 and July 2024, the stock enjoyed an uninterrupted bull run, delivering a massive 216% return during the period.
On an annual basis, the stock has delivered positive returns in each of the last seven years. 2023 emerged as its best-performing year, with the stock rallying 84%, followed by a 54% gain in 2024. In the current year, the stock is marginally higher by 7%.
Disclaimer: We advise investors to check with certified experts before making any investment decisions.
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