Defense shares bounce: On Friday (May 9) amid increasing tension between India and Pakistan, the shares of defense companies rose by 5 per cent. On Thursday, Pakistan, Satwari, Samba, R.S. Shot down. Jammu and Kashmir. Eight missiles were fired in Pura and Arnia areas. However, Indian air defense systems successfully stopped or neutralized him.
At 10:20 am, 3.31 percent in shares of India Dynamics, 2.34 percent in Hindustan Aeronautics (HAL), 2.08 percent in Paras Defense and Space, 3.41 percent in India Electronics, 1.56 percent in Majgaon Dock Shipbuilders, 3.21 percent in Estra Microwave Products, 2.21 percent in Garden Rech Shipbuilders and 2.21 percent in Shipbuilders. An increase of 0.12 percent.
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Shopping opportunity in defense stock
Analysts believe that ‘Operation Sindoor’ may increase the order book of defense companies even faster. Dr. Vikas Gupta, CEO and main investment strategist at Omnisins Capital, said that these companies can now be given aggressive implementation targets. It can be seen in the next few quarters and 1-3 years. This may increase the revenue and profit estimate of these companies.
However, he also warned that investors should invest only in companies whose evaluation is attractive and which is based on facts, data, data analysis, research rather than emotions or speculation.
Should investors buy defense stock at the moment?
Since demand is likely to increase, the shares of the defense sector are expected to gain positive speed in the near future. However, most of the stocks of this segment are good value, which suggests that experts are cautious to them.
Experts believe that there are long -term possibilities in the defense sector, but it currently seems to be an increased evaluation. Investors are advised to avoid shopping based on emotions and wait for more appropriate entry points.
Gorakshakar, the research head of ProfitMart Securities, said, “Investors should be cautious and avoid relying blindly on the news. The evaluation is an important idea – only shopping at higher levels on high -term headlines will not be intelligent for long -term investment.”
