In Hindustan Aeronautics' hangar: Orders and execution ready for takeoff

With a 55% stock rise, defence major is taxiing towards growth, and brokerages have upgraded their earnings forecasts

Notwithstanding a 55 per cent rise in the stock of Hindustan Aeronautics (HAL), the largest publicly traded defence company, brokerages believe the stock still has considerable ammo. Analysts’ optimistic outlook following the 2024-25 (FY25) first-quarter results is underpinned by a strong order book, promising growth prospects, margin improvements, and enhanced execution. Consequently, several brokerages have upgraded their earnings forecasts.

The defence giant reported revenues of Rs 4,348 crore, reflecting an 11 per cent year-on-year (Y-o-Y) increase and aligning broadly with projections. This growth was primarily driven by manufacturing, which outpaced the repair and overhaul (ROH) segment. The