In today’s trading session, several key players of defence stocks are once again the centre of attention in Indian markets and have witnessed a sharp rally after a long time.
The heavy buying interest, which has been reflected by a strong investor optimism across the sector, and as a result, the Nifty India Defence Index rallied over 4% in intraday.
due to fresh order wins, international collaborations, and high trading volumes, Companies like MTAR Technologies, Apollo Micro Systems, Garden Reach Shipbuilders & Engineers (GRSE), Paras Defence, BEML, Mazagon Dock, and Bharat Dynamics saw double-digit intraday moves.
Again, the Indian government’s strong move on indigenisation and “Make in India” for defence manufacturing has also added a strong policy tailwind to the sector. Such a type of government push is reinforcing the market participants to stay invested.
The rally is not only about the government push or sentiments; it is being supported by concrete developments such as multi-crore contracts, export opportunities, and MoUs with global partners.
Let’s discuss which defence stocks are leading the charge today and the reasons behind the stock surge.
Before going through the main topic, let’s have a quick view of the Nifty 50 and the Sensex’s performance today.
Market Updates
Today, September 12, 2025, both the Nifty 50 and Sensex opened with a slight gap up from their previous close. Nifty 50 opened at 25,074.45, made its high/low at 25,139.45/25,038.05 respectively, and closed with a rise of 108.50 (0.43%) points at 25,114.00, whereas Sensex opened at 81,758.95, made its high/low at 81,992.85/ 81,641.38 respectively, and closed with a fall of 355.98 (0.44%) points at 81,904.70.
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Key Stocks and Drivers
MTAR Technologies
The small-cap defence stock MTAR is the highest gainer in today’s trading session.
The company MTAR is working in various hot sectors such as defence, aerospace, nuclear, and clean energy, and is up roughly 9-10% in today’s trading session. The major reasons behind the stock surge are that the defence company has secured a major international order worth ~₹386 crore (~US$43.87 million) from Bloom Energy Corporation, which is related to clean-energy fuel cells.
The international deal enhances the company’s global reach, and partnerships with key international players lend it strong credibility, thereby boosting investor confidence.
With this positive news, heavy trading volume added fuel to the move and has made it a breakout stock among defence peers.
For more details about the company, you can visit the company’s website by clicking on the link given below.
Apollo Micro Systems & GRSE
Both the mid-cap stock Apollo Micro Systems and GRSE rose by 5-8% in today’s trading session. Investors are expecting that the companies will get larger government contracts and are considered key players in the role of indigenisation of defence technology in India. Hence, investors are valuing them as the structural growth players.
Apollo Microsystem has already won new orders recently, along with some recent MoUs.
For more details about the company, you can visit the company’s website by clicking on the link given below.
Paras Defence & Space Technologies
The small-cap defence stock Paras Defence and Space Research surges ~6% today after the company announced a fresh order worth ₹26.6 crore from the Opto Electronics Factory (a government enterprise) for electronic control systems used in thermal imaging fire control systems (TIFCS) for battle tanks.
For more details about the company, you can visit the company’s website by clicking on the link given below.
Other Players: BEML, Mazagon Dock, Astra Microwave Products, Bharat Dynamics
These defence stocks have also shown a hike of 5-8% in today’s trading session.
BEML, Mazagon Dock, Astra Microwave, and Bharat Dynamics shares have risen ~8%, 4.82%, 7%, and ~6% respectively.
BEML surged on reports of a potential upgrade in government status and strong investor interest.
Other defence stocks such as Mazagon Dock, Astra Microwave, and Bharat Dynamics shares are riding the defence sector tailwinds.
In short, Order Wins & MoUs, heavy Trading Volumes, Policy Tailwinds & Indigenisation Push, and Strategic & Global Collaborations are fueling the defence stocks and their sector-wide Optimism.
All the above factors indicate the increased growth in revenue in future quarters, which has attracted a strong interest from both retail and institutional investors. This is making many defence stocks more attractive.
Conclusion
Today’s rally in defence stocks such as MTAR Technologies, Apollo Micro, Paras Defence, GRSE, BEML, and others reflects a combination of new contract wins, supportive policies, high investor interest, and structural shifts towards indigenisation and export readiness in India’s defence sector.
Defence stocks are once again in focus, with promising long-term potential returns.
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