Hindustan Aeronautics Limited shares will remain in the spotlight on Tuesday as the company informed today that Defence Ministry signed two contracts worth Rs 62,700 crore with the company. HAL share price ended the day 0.35% higher on Bombay Stock Exchange to Rs 4176.00 apiece. The stock witnessed sharp gains of 23.01% in last 2-weeks and zoomed 35.30% in last 1-month. The company has a market cap of Rs 2,79,280.44 crore. It is worth noting that FII/FPI’s holding surged from 11.85% to 12.26% for December 2024 quarter. Meanwhile, Life Insurance Corporation Of India (LIC) holds stake of 2.53%. HAL shares traded ex-dividend for Rs 25.00 per share dividend on Feb 18, 2025. Check more details below:
Ministry Of Defence Inks 2 Contracts With HAL
According to the exchange filing of the defence PSU dated March 28, 2025, “We wish to inform that, the Ministry of Defence signed two contracts with the Company today for supply of 156 Light Combat Helicopters (LCH), Prachand to Indian Army (90 Nos) and Indian Air Force (66 Nos) along with training and other associated equipment worth around Rs. 62,700 Crore excluding taxes.”
The supply of these helicopters will begin from third year and will spread over the next five years. The contracts will boost the combat capability of Armed Forces at high altitudes. LCH is India’s first indigenously designed and developed combat helicopter having a capability of operating at an altitude of more than 5000 meters. The helicopter has a large number of components designed and manufactured in India and it is planned to accomplish an overall indigenous content of over 65% during the execution of this procurement, added the press released issued via the exchange filing.
HAL Dividend 2025
Hindustan Aeronautics Ltd on February 12, 2025 announced its highest dividend after 2022. The Board declared first interim dividend of Rs 25/- per equity share of Rs. 5/- each fully paid up (500%) for the Financial Year 2024-25. The firm set February 18, 2025 as the record date for interim dividend payment.
HAL Shares Performance
The 52-week high price of HAL shares on BSE is Rs 5,675.00 per share (as on 09/07/2024) and 52-week low price is Rs 3,045.95 per share (as on 03/03/2025), respectively. The PSU slipped 6.59% in last 6-months, rose 25.51% in last 1-year, and rallied 217.75% in last 2-years. In last 3-years, HAL share price soared by 497.40% and rallied 1490.86% in last 5-years.
Should You Buy HAL Shares?
Leading brokerage firm ICICI Securities has buy call on HAL. The analyst upgraded the stock from add to buy with increased target price to Rs 5000 from previous Rs 4065. According to the analyst, “As a result of reduced execution concerns and lower risk on our earnings estimates, we roll back our WACC to 11% (earlier 12%), resulting in a revised TP of INR 5,000 (earlier INR 4,065). We upgrade HAL to BUY (from Add) and recommend it as our top pick among DPSUs.”
HAL About
Hindustan Aeronautics is a leading aerospace and defense company, owned by the government of India. It has also become the 14th Maharatna Central Public Sector Enterprise (CPSE) in October 2024. It develops, designs, manufactures, and supplies aircraft, helicopters, avionics, and communications equipment for military and civil markets, among others.
Disclaimer: The stock has been picked from the brokerage report of ICICI Securities. Moneydaily.in, the author, and the respective brokerage house will not be held accountable for any losses caused as a result of decisions based on the article. Moneydaily.in advises readers to do their own research or consult a SEBI registered investment advisor before making any investment decisions.
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