Daijiworld Media Network - Mumbai

Mumbai, May 14: India’s defence sector has seen a significant market rally, adding Rs 86,211 crore in market capitalisation since the Pahalgam terror attack that killed 26 people. The upswing follows the launch of Operation Sindoor, a large-scale precision strike by the Indian armed forces targeting terror infrastructure in Pakistan and Pakistan-occupied Kashmir.

This military action, noted as India’s largest tri-service operation since the 1971 war, has boosted investor confidence in the defence sector. The Nifty India Defence Index jumped 9.39% since the start of the operation, far outperforming the Nifty 50 benchmark, which rose just 1.98% during the same period.

Several defence stocks posted impressive gains. Paras Defence and Space Technologies saw its share price soar nearly 40% since April 22. Garden Reach Shipbuilders & Engineers gained over 28%, while Mishra Dhatu Nigam and Bharat Dynamics each rose more than 26%. Other notable performers include Data Patterns India and DCX Systems, with returns exceeding 20%.

The rally also translated into massive additions in market value. Bharat Electronics Ltd (BEL) contributed Rs 23,683 crore to the sector’s total, Hindustan Aeronautics Ltd (HAL) added Rs 21,654 crore, and Bharat Dynamics increased by Rs 12,345 crore. Mazagon Dock Shipbuilders and Solar Industries also added Rs 9,971 crore and Rs 6,859 crore, respectively.

Despite some volatility in broader markets, defence stocks continued to attract strong investor interest. The surge reflects growing confidence in India’s defence preparedness, as well as optimism over the sector’s long-term growth and its role in national security and strategic self-reliance.