India’s defence industry is witnessing rapid expansion as the country pushes toward technological self-reliance in aerospace, missile systems, radars and military electronics. With strong support from government policies and rising global interest in Indian defence exports, several domestic companies have emerged as key suppliers of advanced platforms. The following five companies represent the core of India’s modern defence manufacturing, each contributing unique capabilities in aircraft, drones, radars and precision systems.
Hindustan Aeronautics Ltd, with a massive market cap of ₹3,16,317.20 crore and a closing price of ₹4,729.80, remains the backbone of India’s aerospace ecosystem. The company builds fighter jets, helicopters, UAV frameworks and supports major air-force modernization programs. Its financial strength reflects operational stability, with a PE ratio of 37.82, PB ratio of 9.04, and impressive return on equity of 26.09.
HAL’s ROCE of 17.51 also highlights efficient use of capital, while its zero debt-to-equity demonstrates strong financial discipline. Over the past year, the company has delivered a 1-year return of 15.73%, although short-term performance remained mild with a 1-month return of –0.08% and 1-day return of –0.45%. As India expands production of the Tejas LCA, light helicopters and unmanned platforms, HAL continues to serve as the central pillar of the country's aerospace development.
Bharat Dynamics Ltd plays a central role in India’s missile and smart-weapon ecosystem. Carrying a market cap of ₹59,155.86 crore and closing at ₹1,613.80, BDL is the primary supplier of guided missiles such as the Akash, anti-tank systems and torpedoes. The stock shows strong momentum with a significant 1-day return of 6.32% and a massive 1-year return of 63.08%, driven by rising defence orders and export demand.
However, the valuation remains high with a PE ratio of 107.63 and PB ratio of 14.76, reflecting expectations of long-term growth. The company maintains financial stability with zero debt-to-equity and a return on equity of 14.38, supported by a ROCE of 10.20. BDL’s expansion into drone-launched ammunition and precision-guided systems further strengthens its strategic importance in India’s defence modernization.
Data Patterns has quickly become a crucial technology provider for India’s defence electronics sector. With a market cap of ₹17,358.95 crore and a stock price of ₹3,100.70, the company develops radar subsystems, electronic warfare components, satellite communication systems, avionics and drone-based electronics. Its strong performance is reflected in a 1-month return of 10.25%, 6-month return of 22.15%, and a notable 1-year return of 43.11%.
Despite having a higher valuation marked by a PE ratio of 78.26 and PB ratio of 11.51, its strong ROCE of 19.68 and return on equity of 15.66 highlight efficient operations. The company carries zero debt and maintains a volatility level of 4.04 vs Nifty, reflecting its dynamic growth trend. As defence electronics, radars and space-grade systems gain importance, Data Patterns has positioned itself as one of India’s most technologically advanced defence manufacturers.
Paras Defence and Space Technologies focuses on high-precision optics, drone platforms, laser systems and space-grade components. Its market cap stands at ₹6,172.18 crore, with the stock closing at ₹765.90. Known for its niche technologies, the company has delivered an impressive 1-year return of 56.21%, supported by strong participation in drone development and anti-drone solutions.
The firm’s valuation includes a PE ratio of 97.25 and PB ratio of 9.70, indicating high expectations for future growth. Its operational efficiency is captured in a return on equity of 11.75 and ROCE of 14.02, while maintaining low leverage with a debt-to-equity of just 0.04. Although the 1-month return shows a slight dip of –0.15%, renewed defence orders and space-sector expansion continue to drive long-term confidence in the company’s technological capabilities.
Unimech Aerospace and Manufacturing Ltd is an emerging supplier of high-precision components used in fighter aircraft, helicopters, missile parts and unmanned platforms. The company has a market cap of ₹5,097.39 crore and a closing price of ₹1,002.30. Its financial profile shows a PE ratio of 61.07 and PB ratio of 7.62, with a notable return on equity of 21.47 and ROCE of 14.88, reflecting efficient operations in advanced manufacturing.
Despite long-term pressure reflected in a 1-year return of –27.17%, recent performance shows improvement with a 1-month return of 4.62% and a 1-day return of 1.76%. The company maintains a moderate debt-to-equity of 0.13, giving it room to scale production as demand for domestically produced aerospace parts increases. With India placing heavy emphasis on indigenous manufacturing, Unimech is well positioned to benefit from long-term sector expansion.
India’s defence modernisation has created strong momentum for companies operating in aerospace, missiles, radars, electronic warfare and precision manufacturing. HAL leads aircraft production, BDL anchors the missile ecosystem, Data Patterns drives electronic warfare and radar technology, Paras Defence advances drone and optics solutions, and Unimech strengthens indigenous aerospace components. With robust financial profiles and growing technological capabilities, these five companies continue to play a vital role in transforming India into a global defence manufacturing hub.