Home / Markets / Stock Markets /  PSU stocks zoom on hope of bagging orders from government

MUMBAI: Shares of public sector undertakings (PSU), especially in the defence and telecom sectors--Bharat Electronics, Mishra Dhatu Nigam Ltd, Hindustan Aeronautics Ltd, Bharat Earth Movers Ltd, Bharat Dynamics--surged on Tuesday on expectation of bagging orders from the government.

At 1250 pm, Bharat Electronics traded at 102.85, up 0.7%, Mishra Dhatu Nigam was up 3.3%, Hindustan Aeronautics rose 4.6%, and Bharat Dynamics rose 0.8%.

In the last one week, Bharat Dynamics has rallied 50%, while Hindustan Aeronautics Ltd (HAL) has soared 35% after the Ministry of Defence approved purchase of weapons and equipment worth 38,900 crore.

Bharat Dynamics is the only missile manufacturing company that makes surface to air missiles, anti-tank guided missiles, torpedoes and underwater weapons among others. The company's net profit more than doubled year-on-year to 309.72 crore in the March quarter on the back of strong operational income.

In May, the government raised foreign direct investment via automatic route to 74% from 49% as part of defence sector reforms and to boost the government's Make in India campaign

Catch all the Business News, Market News, Breaking News Events and Latest News Updates on Live Mint. Download The Mint News App to get Daily Market Updates.
More Less
Subscribe to Mint Newsletters
* Enter a valid email
* Thank you for subscribing to our newsletter.

Recommended For You

Edit Profile
Get alerts on WhatsApp
Set Preferences My ReadsWatchlistFeedbackRedeem a Gift CardLogout