Best Drone Stocks in India for June 2025: Zen Tech, RattanIndia, HAL and More – 5Y CAGR Basis

As India intensifies its push for technological innovation and self-reliance in the defence sector, the domestic drone industry is gaining significant traction. Defence manufacturing has become a cornerstone of the Indian economy, and with escalating national security concerns, particularly in light of ongoing territorial disputes, the demand for advanced defence equipment is expected to surge.

Globally, the counter-Unmanned Aerial Systems (counter-UAS) market, currently valued at over $1.2 billion, is projected to expand at a compound annual growth rate (CAGR) of 6.99% through 2034. This creates a promising landscape for our AntiDrone subsidiary, which is strategically positioned to capitalise on this growing market.

In this article, we explore the best drone stocks in India for June 2025, based on 5Y CAGR and other key financial metrics.

Best Drone Stock in India for June 2025 Based on 5Y CAGR

Note: The best drone stocks have been based on the 5Y CAGR as of June 2, 2025.

Overview of Best Drone Stocks for June 2025

1. Zen Technologies Limited

Founded in 1996, Zen Technologies Limited designs, develops and manufactures combat training solutions and Counter-drone solutions for defence and security forces. The company has surpassed its guidance for FY25, achieving a top line of over ₹900 crores, along with EBITDA and PAT margins exceeding the guided 35% and 25%, respectively.

Key metrics: 

• ROCE: 36.7%
• ROE: 26.1%

2. RattanIndia Enterprises Limited

RattanIndia Enterprises Limited comprises tech-focused new age businesses, including e-commerce, electric vehicles, and drones. The company successfully developed ammunition payload drones for deployment by the Indian armed forces.

Key metrics: 

• ROCE: 12.7%
• ROE: 9.17%

3. Hindustan Aeronautics Limited

Hindustan Aeronautics is engaged in the business of manufacturing Aircraft and Helicopters, and the Repair and maintenance of Aircraft and Helicopters. HAL’s order book improved to ₹1,89,300 crores against the previous year’s order book position of ₹94,127 crores as of April 1, 2024, turnover of ₹30,105 crores.

Key Metrics

• ROCE: 26.1%
• ROE: 33.9%

4. Bharat Electronics Ltd

Bharat Electronics Ltd manufactures and supplies electronic equipment and systems to the defence sector. Bharat Electronics Limited (BEL) has secured additional orders worth ₹572 crore since its last disclosure on April 7, 2025.

Key contracts include the supply of Integrated Drone Detection and Interdiction Systems (IDDIS), Software Defined Radios (SDRs), and Data Communication Units (DCUs) for combat applications. The order book also features AI-driven solutions for naval platforms, as well as simulators, advanced communication equipment, jammers, spares, and related services.

Key metrics: 

• ROCE: 39%
• ROE: 29.3% 

Read More: Best Defence Stocks in India for June 2025: HAL, BDL, Nibe, Sika, and More Based on 5-Yr CAGR

Conclusion

Investing in defence stocks presents a compelling opportunity, particularly as national security takes center stage and governments ramp up spending on modern military technologies. In India, the push for indigenisation, coupled with rising geopolitical tensions and robust policy support, has created a fertile environment for growth in the defence sector. Companies like Bharat Electronics Limited (BEL) and emerging players in drone and counter-UAS technologies are well-positioned to benefit from this trend.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.