New Delhi: The ongoing military conflict between US-Israel and Iran, are impacting the Stock Markets around the world. The Indian markets suffered a severe blow on Monday as the 1598.09 points to 79,689.10 at the time of writing this article. The NSE Nifty plunged 491.05 points to 24,687.60 .
However, at a a time when majority of the stocks are facing the heat, the shares of many defence companies recorded a jump. Solar Industries India share jumped by 3.06 per cent to 13,917, Bharat Electronics went up by 1.11 per cent to 449.90, Paras Defence and Space Technologies Limited rallied by 6.25 per cent to Rs 677.65, Hindustan Aeronautics appreciated by 0.86 percent to 3,947, and Dynamatic Technologies gained 1.6 per cent to 10,193.
Why investors are betting on defence stocks
Investors are pumping money in defense stocks as in times of war, the demand for defense components, missile systems, aerospace, and military technology increase. Also, this sector has delivered strong returns over the long term in the past, so investors are sensing opportunities for growth and relatively safe investment.
Solar Industries India is engaged in the business of manufacturing products related to ammunition and missile systems. In recent years, the firm has established a strong presence in the defence sector.
Bharat Electronics Limited is a government-owned defence company that manufactures electronic warfare systems, missile guidance components, radar systems, and communication systems.
Paras Defence and Space Technologies Limited manufactures heavy engineering products related to defence and space technology, drone parts, and electro-optical systems.
Hindustan Aeronautics Limited builds fighter aircraft, helicopters, and defense aviation equipment.
Dynamatic Technologies is engaged in manufacturing high-precision components for the aerospace and defense sectors.
Iran’s Supreme Leader Ayatollah Ali Khamenei was killed in a joint military operation of US and Israeli airstrike early Saturday. Iran retaliated by firing missiles at Israel and the countries in the Middle East region.
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