Space-based defence is one of the fastest-growing areas in both national security and the stock market. Countries across the globe are increasing their focus on satellite systems, missile defence, and advanced surveillance technologies in space. As a result, several companies in India and abroad are becoming key players in this space.
This article highlights some of the best space-based defence stocks to watch this month, based on recent news, market data, and business developments.
HAL is India’s largest aerospace and defence company. It plays a major role in manufacturing fighter aircraft, helicopters, and other advanced equipment for the Indian Air Force. The company is also involved in space projects, including support for India’s human spaceflight mission, Gaganyaan.
HAL’s market value stands at around ₹3.36 lakh crore. The company has shown consistent growth, with a profit margin of about 25%. Its strong order book, backed by government contracts, and involvement in both air and space defence, makes HAL a top choice for investors interested in this sector.
BDL is a key manufacturer of guided missiles and torpedoes for the Indian defence forces. The company is now expanding into technologies that can support missile defence from space, including satellite-guided missile systems.
In the third quarter of the financial year, BDL reported revenue of ₹832 crore and a net profit of ₹147 crore. Its market cap is close to ₹70,000 crore. With a strong order pipeline and a good reputation for delivering high-quality defence products, BDL is well-positioned to benefit from rising demand in the space-missile defence sector.
TASL is part of the Tata Group and has been quietly building its position in aerospace and defence. The company works on satellite components, missile launchers, and drone technology. It also partners with international firms on projects related to satellite surveillance and earth observation.
TASL recently completed the 300th fuselage for Apache helicopters and is now focusing more on space-based assets. With India pushing for self-reliance in defence, TASL is expected to grow further in both ground and space-based defence solutions.
BrahMos Aerospace is a joint venture between India and Russia. The company is best known for making the BrahMos supersonic cruise missile, which is widely used by India’s military. Work is currently underway on BrahMos-II, a hypersonic version that could be used in future space-defence systems.
The company is increasing its production capacity from 100 missiles a year to 150. Its new facility in Lucknow will help meet rising demand. BrahMos is becoming a key player in regional security and is expected to be part of India’s future satellite-guided missile systems.
Skyroot is one of India’s top private space companies. It builds small rockets, known as the Vikram series, and has successfully launched sub-orbital missions. Skyroot also manufactures rocket engines and is working on advanced launch vehicles.
Recently, the company signed a deal with a foreign space agency to carry defence-related payloads into Low Earth Orbit. Skyroot is expanding its manufacturing facility in Hyderabad and preparing for its next funding round. Its role in India’s growing private space sector makes it an attractive stock to monitor.
HawkEye 360 is a U.S.-based company that uses small satellites to monitor radio frequencies from space. These satellites can track ships, aircraft, and other activities that emit radio signals. The technology is useful for both commercial and defence purposes.
HawkEye recently signed a major deal to sell satellite data services to India, helping improve maritime surveillance in the Indo-Pacific region. The company plans to expand its fleet to 30 satellite clusters in the next few years, increasing its capability and market reach.
Karman Holdings is an American company that supplies parts for missiles and spacecraft. The company went public earlier this year and has shown strong financial growth. In the first quarter of 2025, Karman reported a 23% year-on-year increase in revenue.
Karman supports major U.S. defence programs such as Replicator and Golden Dome. Its focus on domestic manufacturing also protects it from trade tariffs and supply chain issues. A growing order backlog of over $600 million highlights the demand for its high-tech components.
Huntington Ingalls is the largest military shipbuilder in the United States. It also works on advanced naval defence systems and satellite-based military technology. The company’s stock has been performing well, supported by a strong defence contract pipeline.
Although revenue dipped slightly earlier this year, HII’s long-term projects and large order book make it a stable investment in the defence space. Upcoming earnings announcements may provide more insights into its future space-based contracts.
Rocket Lab is a U.S.-based company that launches small satellites into space. It has gained attention recently due to political tensions and rising demand for space infrastructure. Rocket Lab is developing its Neutron rocket, which will allow it to launch larger payloads, including military satellites.
The company’s stock rose 9% in a recent trading session, and it continues to gain new contracts. As governments seek reliable launch services for space-based defence, Rocket Lab’s role is becoming more important.
Both GE Aerospace and Boeing are major global players in aerospace and defence. GE supplies engines and technology for aircraft and satellites. Boeing builds everything from fighter jets to space capsules. These companies have decades of experience and deep ties with government defence programs.
In 2025, both companies are working on next-generation satellite systems and advanced defence platforms. Rising global tensions and increased defence budgets are expected to support their business in the coming quarters.
Across the world, governments are increasing spending on space-based defence. The United States is working on a new missile shield program called Golden Dome, which will include satellite systems. The UK is investing over €160 million in satellite technology through a deal with a French space agency.
India is also moving quickly. The government is supporting private companies like Skyroot and investing in projects like Gaganyaan and IN-SPACe, which aim to build space-based infrastructure for both civilian and military use.
Recent conflicts in regions like South Asia and Eastern Europe have shown the value of drone and satellite-based surveillance. As a result, investors are turning toward defence and aerospace stocks that support these technologies.
Here is a quick summary of some strong performers:
Company Focus Area Growth Drivers
HAL Aircraft, satellites Govt contracts,human spaceflight
BDL Missiles, torpedoes Defence exports, missile shield
TASL Drones, satellites Make in India, private partnerships
Skyroot Rocket launches Private space tech, LEO missions
Karman Missile parts U.S. defense programs
HawkEye RF surveillance Satellite data sales
Rocket Lab Launch services Small payload growth
Boeing, GE Space & air tech Global military spending
The demand for space-based defence is rising due to global conflicts, new technology, and the need for better surveillance. Companies like HAL, BDL, and TASL in India, and Rocket Lab, Karman, and HawkEye in the U.S., are becoming leaders in this area.
As more countries invest in satellite systems and space defence, these companies are expected to grow in value. Investors watching the defence sector in July 2025 should keep a close eye on these stocks for long-term potential. The shift toward space as a battlefield is real, and the companies enabling this shift are likely to see strong business performance ahead.