Indian defence stocks have faced periods of selling pressure over the past year after a strong multi-year rally.
Concerns around elevated valuations, profit booking, execution delays, and supply-chain challenges have led to sharp corrections across several defence names, including Hindustan Aeronautics (HAL).
HAL has posted negative returns of 1.47% over the past year, according to NSE data, compared to a positive 1.62% return for the Nifty Next 50 index.
Today, we examine the factors that could determine where HAL's stock could be in the next five years. But first, let’s find out what the company is all about.
HAL is a major Indian aerospace and defence company that manufactures and maintains fighter aircraft, helicopters, aircraft engines, and other aerospace systems.