Defense Sector Check - Order Inflow From Bharat Electronics Continues Unabated: ICICI Securities

ICICI Securities Reports

Key updates for the month of December 2023 include:

1. Bharat Electronics Ltd. bagged orders worth Rs 124.5 billion;

2. Mazagon Dock Shipbuilders Ltd. won orders worth Rs 30.9 billion;

3. more than Rs 1,420 billion worth of acceptance of necessity were accorded in CY23 by the Ministry of Defence for induction of several Defence Research and Development Organisation developed systems (highest in history);

4. Garden Reach Shipbuilders and Engineers Ltd. has delivered INS Sandhayak to the Indian Navy;

5. MoD approved a second order for over 70,000 units of the SIG716 rifles for the Indian Army, costing Rs 8,000 million;

6. Defence Acquisition Council has approved a proposal of Rs 28 billion to purchase 6,400 Pinaka rockets for the Indian Army.

7. Considering the better-than-expected order inflow for Bharat Electronics, we had recently increased our target price on the stock. We maintain Bharat Electronics (Buy; target price: Rs 203) and Astra Microwave Products Ltd. (Buy; target price: Rs 675) as our key picks in the defence space.

Click on the attachment to read the full report:

DISCLAIMER

This report is authored by an external party. NDTV Profit does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of NDTV Profit.

Users have no license to copy, modify, or distribute the content without permission of the Original Owner.