Hot Stocks: These 3 multibagger aerospace & defence companies likely to receive orders worth Rs 7,800 crore from Ministry of Defence!

The President of India holds over 50 per cent majority stake in each of the three mentioned companies BEL, BHEL and HAL.

The Defence Acquisition Council (DAC) has approved a number of capital acquisition proposals worth approximately Rs 7,800 crore rupees. These proposals include the procurement of electronic warfare suites for Mi-17 V5 helicopters, ground-based autonomous systems for mechanised infantry and armoured regiments, 7.62x51 mm Light Machine Guns (LMGs), Bridge Laying Tanks (BLTs), and ruggedised laptops and tablets for the Indian Army. The procurement of weapons for MH-60R helicopters of the Indian Navy has also been approved. All of these procurements will be sourced from Indigenous vendors only. This will be procured from Bharat Electronics Limited (BEL).

The procurement of electronic warfare suites for Mi-17 V5 helicopters will enhance their survivability by making them less vulnerable to enemy radar and other electronic threats. The procurement of ground-based autonomous systems for mechanised infantry and armoured regiments will enable various operations like unmanned surveillance, logistic delivery of ammunition, fuel and spares, and casualty evacuation on the battlefield. The procurement of 7.62x51 mm LMGs will enhance the fighting capabilities of infantry forces, while the procurement of BLTs will result in faster movement of mechanised forces. The procurement of ruggedised laptops and tablets for the Indian Army will improve the operational effectiveness of the force. The procurement of weapons for MH-60R helicopters of the Indian Navy will enhance their operational capability.

The approval of these capital acquisition proposals is a significant step towards modernizing the Indian Armed Forces and enhancing their combat readiness. The procurement of these weapons and systems from Indigenous vendors will boost self-reliance in defence production and reduce dependence on foreign suppliers.

Bharat Electronics Ltd (BEL), a Navratna Defence PSU, to meet the specialized electronic equipment requirements of the Indian Defence Services. The company’s current order book stands over Rs 65,000 crore as of June 30, 2023. Today, shares of BEL zoomed 2.90 per cent and made a new 52-week high of Rs 138.20 per share with a spurt in volume by more than 1.43 times on BSE. The stock gave multibagger returns of 125 per cent in 2 years.

Bharat Heavy Electricals Ltd (BHEL), a prominent PSU company renowned for its expertise in integrated power plant equipment manufacturing and defence sector. The company’s current order book stands over Rs 1,50,000 crore as of June 30, 2023. Today, shares of BHEL surged 1.44 per cent to an intraday high of Rs 109.15 per share. The stock gave multibagger returns of 102 per cent in 2 years.

Hindustan Aeronautics Ltd (HAL), a leading aerospace & defence company engaged in the business of manufacturing, repair and maintenance of aircraft & helicopters. The company’s current order book stands over Rs 80,000 crore as of June 30, 2023. Today, shares of HAL gained 1.37 per cent to an intraday high of Rs 4,020 per share. The stock gave multibagger returns of 215 per cent in 2 years.

The President of India holds over 50 per cent majority stake in each of the three mentioned companies BEL, BHEL and HAL. Investors should keep an eye on these stocks.

Disclaimer: The article is for informational purposes only and not investment advice.