After 150% Dividend, 1:2 Stock Split PSU Stock Hits 52-Week High On Defence Deals

Shares of leading state-run defence sector company Hindustan Aeronautics Ltd (HAL) witnessed fresh 52-week high on Friday after Defence Acquisition Council (DAC) gave nod to the procurement of light combat helicopter (LCH) for the Air Force & Indian Army and Light Combat Aircraft Mk 1A for Indian Air Force.

Current market price of Hindustan Aeronautics share BSE is Rs 2476.25 apiece with intraday gain of 3.94% on December 1. HAL shares gained nearly 36% in last 1-month only and soared 280% in last 2-years.

HAL Share Soars On Defence Deals: According to the BSE filing of the company dated November 30, 2023, "The Defence Acquisition Council (DAC), under the chairmanship of Raksha Mantri Shri Rajnath Singh on November 30, 2023, accorded approval in respect of Acceptance of Necessity (AoNs) for various Capital Acquisition Proposals amounting to Rs 2.23 lakh crore, of which, acquisition worth Rs 2.20 lakh crore (98% of total AoN amount) will be sourced from domestic industries. This will give a substantial boost to the Indian Defence Industry towards the aim of achieving the goal of 'Aatmanirbharta'."

HAL Stock Performance & Return: The stock's 52-week high price is Rs 2499.00 per share and 52-week low price is Rs 1150.50 per share, respectively. Its market capitalisation is Rs 1,65,260.99 crore. Hindustan Aeronautics stock gained 61% in last 6-months, soared 94% year-to-date, and offered return of 80% in last 1-year. In last 5-years, Hindustan Aeronautics stock gained 525%.

HAL Traded Ex-Dividend, Ex-Split: Earlier this year, Hindustan Aeronautics's Board approved 1:2 stock split and Rs 15 per share final dividend. HAL shares traded ex-dividend on August 24, 2023. HAL shares traded ex-split on September 28, 2023. The company fixed September 29, 2023 as the record date for 1:2 stock split and the record date for final dividend was August 24, 2023.

HAL Financials: The leading aerospace and defence company on November 10 announced its quarterly results. It announced its consolidated net profit for the quarter ended September 2023 at Rs 1236.67 as against Rs 1221 crore in the corresponding quarter of last year. The company's consolidated revenue from operations soared 9.5% on year to Rs 5635.7 crore for the quarter under consideration as against Rs 5144.79 crore in September 2022. The company's total expenditure jumped 18% on year to Rs 4,458 crore for the quarter under review as compared to Rs 3775.50 crore in the year ago quarter. It declared the EBITDA at 1527.7 crore for Q2, down 5.8%.

HAL About: Hindustan Aeronautics Ltd (HAL) is an aerospace and defense company, owned by the government of India. The company develops, designs, manufactures, and supplies aircraft, helicopters, avionics, and communications equipment for military and civil markets, among others.

Disclaimer: The stock highlights the rally in shares after defence deals and is not a recommendation to buy, sell or hold. We have not done fundamental or technical analysis and have no opinion on the stock mentioned. Neither, the author nor Greynium Information Technologies should be held liable for ay losses. Please consult a professional advisor.