Defense Stock Shares of ideaForge Technologies Ltd. and Zen Technologies Ltd. surged up to 14% on Friday, May 9 amidst the escalation of the crisis between India and Pakistan on the Northern and Western borders on the nights of May 8 and May 9.
ideaforge also reported its March quarter results last evening, where its revenue declined by 80% from the same quarter last year, while the company reported a net loss of Rs 26 crore from a net profit of Rs 10 crore during the same quarter year.
The company has also joined forces with Resonia (Sterlite Group) to transform the energy sector with drones and robotics technology.
While shares of ideaForge are up 14%, those of Zen Technologies are up in a 5% upper circuit. For the full year, ideaForge's revenue halved due to a shift in order timelines and delayed government spending.
Along with the drone manufacturers, shares of other defence stocks like Bharat Dynamics(up 8%), Bharat Electronics(up 4%), Mazagon Dock Shipbuilders(up 2.5%), are also trading with gains on Friday.
Shares of Zen Technologies are trading 5% higher at Rs 1,406.4. The stock is also down 50% from its 52-week high, is trading below its IPO price of Rs 672 per share and nearly 70% below its all-time high of Rs 1,344, which back in 2023,was its listing price.
Zen Technologies in March had received orders from the Defense Ministry for Integrated Air Defence Combat Simulator.
Analysts say that armed forces will require more drones and unmanned systems. The immediate requirement will be for defense electronics and consumables, followed by vehicles.
