Defence Stocks Rally: Sika Interplant, Cochin Shipyard, Mazagon Share Price Rally Up to 172% in H1 2025

The Indian stock market finished the first half of 2025 on a strong note. While investors faced volatility due to geopolitical tensions and high commodity prices, stocks bounced back quickly, showing confidence in India’s growth story.

The Nifty 50 rose 3.1% and the Sensex gained 2.65% in June alone. Together, both indices have surged more than 17% since April lows, marking one of the biggest recoveries in recent times.

Why Defence Stocks Are Rallying

Defence companies outperformed most sectors because of rising tensions with Pakistan and China, along with conflicts in the Middle East. As per news reports, investors believe the Indian government will continue to increase defence spending to strengthen national security. This optimism was further supported by NATO leaders committing to higher defence budgets and a strong long-term outlook for military modernisation in India. The defence budget for FY26 has been set at ₹6.81 trillion, up 6.3% over last year.

Top Performing Defence Stocks in H1 2025

• Sika Interplant Systems share price soared from ₹509 to ₹1,378, marking its biggest six-month return since listing in 2004.
• Garden Reach Shipbuilders rose 85% to ₹3,015 and even touched a record high of ₹3,535 during the period.
• Mazagon Dock Shipbuilders and Cochin Shipyard also performed strongly, delivering gains of 45% and 35% respectively.
• Despite some profit booking in late June, Apollo Micro Systems still ended the period up 67%.
• Bharat Dynamics added 73%, reaching a new all-time high of ₹2,096, while drone-related companies like Paras Defence and Space Technologies rose as much as 60%.
• In total, 13 defence and related stocks posted gains of over 15% in the first half of the year.

Read more: List of TCS Office Locations in India: Metros to Tier-3 Cities!

Conclusion

Rising global tensions and strong policy support have made defence stocks some of the best performers of 2025 so far. As India continues investing in modernisation and self-reliance, investors are likely to find more opportunities in this space.

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.

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