Defence Stock Doubles in Just 5 Weeks – What’s Behind the Stunning Surge?

Paras Defence Share Surges Over 100% From April Lows 821

Paras Defence Share

Paras Defence and Space Technologies Ltd. shares have performed stellar, rallying over 100% from its recent low on April 7, 2025, when the stock closed around ₹821. Since then, it has hit a high of ₹1817.40 as of May 16, 2025, representing a gain of over ₹996 or 121% in just over a month. This rally has caught investors’ attention, especially amid global and regional uncertainty.

Paras Defence Share Current Price

PARAS Defence shares on Friday closed at ₹1,799.50, showing a significant increase of ₹285.00, or +18.81% from the previous close of ₹1,514.50. The day’s trading range spans from a low of ₹1,515.30 to a high of ₹1,817.40, indicating substantial intraday volatility. The stock opened at ₹1,530.00, and the current price is near the upper end of the day’s range.

Key drivers behind the rally:

Tensions on India-Pakistan border:

With renewed military tensions on the India-Pakistan border, investors have turned their attention to India’s defense sector. Rising geopolitical risks often cause markets to take a defensive stance, benefiting national security and defense-related stocks.

Defence Sector Focus:

Defence and aerospace companies are witnessing strong buying interest, buoyed by expectations of increased government spending on military infrastructure, surveillance systems and indigenous manufacturing initiatives under the “Atmanirbhar Bharat” campaign.

Strategic Positioning of Paras Defence Share:

Paras Defence is well positioned in the military optics, defence electronics and space applications space. Its strategic partnerships, indigenous capabilities and expanding order book have made it a key player benefiting from regional tailwinds.

Paras Defence Q4 FY2025 Results
The company’s consolidated net profit grew 97.79% year-on-year to ₹19.72 crore in Q4 FY25 as against ₹9.97 crore in the same period last fiscal. Revenue from operations also witnessed a substantial growth, rising 35.8% to ₹108.23 crore from ₹79.69 crore in Q4 FY24. For the full FY25, consolidated net profit grew 97.97% to ₹63.47 crore, and total income grew 42.33% to ₹372.58 crore.  These results indicate strong growth and improved operational efficiency in the defence and space engineering sectors along with Paras Defence shares.
Paras Defence Stock Split
With an aim to enhance liquidity and make Paras Defence  shares more accessible to retail investors, Paras Defence and Space Technologies Ltd announced a stock split in 1:2 ratio. This means that each existing equity share with a face value of ₹10 will be split into two equity shares with a face value of ₹5 each. The stock split is subject to shareholder approval through postal ballot. The company will announce the record date for the stock split after obtaining the necessary approvals. This is the first time the company has announced a stock split since its listing in 2021. Along with the stock split, the board also recommended a final dividend of ₹0.50 per equity share of ₹5 each for the financial year ending March 31, 2025, after completion of the stock split.

Disclaimer: This content is about intended solely for educational and informational purposes and should not be interpreted as financial or investment advice. The information presented is derived from publicly available sources and independent analysis; however, its accuracy or completeness is not guaranteed. Readers are encouraged to conduct their own due diligence and seek guidance from a professional financial advisor before making any investment decisions. Neither the author nor stoxmail.com assumes responsibility for any financial losses or investment actions taken based on this article.

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