HAL, BEL, Bharat Dynamics Surge as Operation Sindoor Spurs Defence Stock Rally Amid Indo-Pak Tensions

On Friday, May 9, 2025, shares of Indian defence companies rose by up to 3.5% in early trade due to rising border tensions between India and Pakistan. The increase in stock prices comes after Pakistan launched missile attacks on areas in Jammu & Kashmir, which were all stopped by India’s air defence systems.

Missile Attacks and India's Defence Response

On Thursday, Pakistan fired eight missiles targeting Satwari, Samba, RS Pura, and Arnia in Jammu & Kashmir. All missiles were either intercepted or neutralised by Indian defence units. Indian forces also detected Pakistani drones and weapons in Jammu city, Pathankot, and Jaisalmer.

In response, the Indian armed forces carried out strikes against Pakistan's air defence systems at multiple locations. One such system was reportedly destroyed in Lahore. India acted after Pakistan tried to target military areas in Srinagar, Amritsar, and Chandigarh using drones and missiles.

Read More, Lemon Tree Expands Business with Launch of  Opens 4th Hotel in Anjuna, Goa. 

Stock Market Reaction

At 9:26 AM on Friday:

• Bharat Dynamics share price rose by 1.21%
  
   
• Hindustan Aeronautics (HAL) share price rose by 1.91%
  
   
• Paras Defence and Space Technologies share price increased by 2.08%
  
   
• Bharat Electronics share price was up 2.61%
  
   
• Mazagon Dock Shipbuilders share price rose 0.74%
  
   
• Astra Microwave Products share price climbed 0.45%
  
   
• Garden Reach Shipbuilders & Engineers (GRSE) share price gained 1%
  
   
• Cochin Shipyard share price was up 0.12%  

About Operation Sindoor

Operation Sindoor is India’s recent military mission aimed at reducing Pakistan’s ability to support terrorism across the border. Indian forces successfully destroyed nine terror camps in Pakistan and Pakistan-occupied Kashmir (PoK). This was in retaliation to a deadly terror attack in Pahalgam that claimed 26 lives. The operation’s name was reportedly chosen by Prime Minister Narendra Modi.

J&K CM Visits Jammu After Drone Attack

Following the failed drone attacks, Jammu & Kashmir Chief Minister Omar Abdullah is visiting Jammu to review the situation.

Conclusion

As tensions escalate along the border, India’s swift and strategic military response has not only reinforced national security but also sparked strong investor interest in defence sector stocks. 

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.