1:10 Stock Split In July 2025: Not A PSU! This Smallcap Defence Stock Rallied By 105% From 1-Yr Low; BUY?

Upcoming Stock Split: In the defence basket, there is one stock that is going to be in focus during July month due to its first-ever shares split in the ratio of 1:10. Ahead of its stock split, this defence stock has skyrocketed by more than 100% from its 1-year low. It is among the best-performing defence stocks. Who is it?

It's not a defence PSU stock like Mazagon Dock or Bharat Dynamics, but instead a smallcap company called Paras Defence and Space Technologies.

Paras Defence and Space Technologies Share Price:

On June 26, Paras Defence shares traded at Rs 1604.80 apiece, up by 0.8% on BSE, with market value at Rs 6,466.33 crore, at the time of writing. The stock had rallied to hit an intraday high of Rs 1638 apiece.

Taking into consideration its intraday high of June 26, the stock has zoomed by 104.24% from its 52-week low of Rs 802 apiece. Also, Paras Defence stock is nearing its 52-week high of Rs 1,943.60 apiece.

As of June 26, Paras Defence's price-to-equity ratio is at 99.20x, while return on equity is at 13.62%.

Paras Defence and Space Technologies Ltd Stock Split:

According to the regulatory filing, Paras Defence has fixed Friday, July 04, 2025 as the "Record Date" for the purpose of determining the eligibility of shareholders for sub-division/ split of existing 1 (one) Equity Share of face value of Rs. 10/- (Rupees Ten Only) each fully paid up into 2 (two) Equity Shares of face value of Rs. 5/- (Rupees Five Only) each fully paid up, as approved by the shareholders through Postal Ballot on June 07, 2025.

Hence, the stock split ratio is 1:10.

BUY Paras Defence Stock?

According to MarketsMojo report, Paras Defence continues to trade above its 5-day, 20-day, 50-day, 100-day, and 200-day moving averages, indicating a generally positive long-term trend. Over the past year, Paras Defence has outperformed the Sensex significantly, with a 1-year performance of 18.03% compared to the Sensex's 7.17%. Additionally, the stock has demonstrated impressive growth over three years, with a remarkable increase of 196.84%, showcasing its strong position within the industry.

On June 25, Axis Securities had set Rs 1,769 target on Paras Defence with stop loss of Rs 1,567.

Last month, Paras Defence announced a strategic joint venture with HevenDrones Israel, an independent subsidiary of Heven - a US-based global company that is recognised for its autonomous, hydrogen-powered and mission-specific drones.

The JV combines Paras Defence's engineering and manufacturing ecosystem with HevenDrones' proprietary platforms. The JV will serve as the exclusive vehicle for bringing this revolutionary hydrogen-powered drone technology to India for the first time. This partnership positions the JV among the first in the country to offer ready-to-fly, proven hydrogen-powered drones with enhanced flight endurance and modular payload capabilities-designed, manufactured, and deployed from Indian soil. The JV will prioritize deployment in domains such as logistics support for remote and border regions, tactical surveillance, defence supply chains, and high-altitude missions, as per the main statement.

Paras Defence is a leading Indian private sector company, nearly doubling year-on-year net profit on 35.8% higher revenue with expanded EBITDA margins of 26.2%. This reflects robust full-year FY25 growth, supported by a strong order book of over ₹9 billion and marked by its first stock split and dividend announcements.

About Paras Defence and Space Technologies Ltd:

Paras Defence and Space Technologies Ltd. is a premier Indian defence engineering company, delivering a comprehensive suite of indigenously designed, developed, and manufactured (IDDM) products and solutions for the defence and space sectors. With over 40 years of sustained business growth, Paras has evolved into a pivotal player supporting India's strategic interests across land, naval, air, and space domains.