Defence, overseas markets to boost incremental growth for Solar Industries

Margins too should move up as the proportion of these segments improves in the revenue mix

The stock of Solar Industries hit an all-time high of Rs 4,535.95 hit on January 3 on the expectations that new orders from the defence segment, and an uptick in overseas business will boost incremental growth and improve margins over the next couple of years. The company, which is the market leader in industrial explosives with a share of 25 per cent, has seen the highest earnings per share upgrades for the 2023-24 financial year (FY24) over the last three months, according to Macquarie Research.

The near-term trigger for the stock is the decision by the defence ministry for 24