Why Paras Defence and Space Technologies Share Price is Rising

On Monday, 23 June 2025, Indian equity markets opened lower, before recovering amid heightened geopolitical tensions following US strikes on Iran's nuclear sites.

At the time of writing, the NSE Nifty index slipped around the 25,000 mark, down 0.44%, while the BSE Sensex was down about 0.47%.

A stock that has gained sharply today and over the last few trading sessions is Paras Defence and Space Technologies.

Here are some reasons for sharp gains in the stock.

#1 ICRA Upgrades Changes Rating Outlook

Credit Rating Agency, ICRA has reaffirmed the ratings for the long-term and short-term facilities of Paras Defence and Space Technologies.

However, a good development is that the outlook has changed from "Stable" to "Positive".

A rating outlook change, from "stable" to "positive" indicates that the credit rating agency sees a high likelihood of an upward revision of the credit rating in the near to medium term.

#2 Stock Split

The board of the company had announced a stock split and the record date has now been fixed on 4 July 2025. The shares are being split from a face value of Rs 10 to a face value of Rs 5.

Sometimes, stocks move up closer to the stock split date.

#3 Defence Stocks in the Limelight

Defence stocks are once again in the limelight due to the conflict in the Middle East. During such times, investors tend to buy defence stocks. Over the last few months there has been huge buying in these stocks.

Despite a falling market, some defence stocks outperformed today, with the Nifty India Defence index rising 1.3%.

What Next?

Paras Defence and Space Technologies has done well in the last few quarters. In Q4 2025 the company reported revenue rising nearly 36% YoY to Rs 1,082 million (m). The net profit growth was 117% year YoY at Rs 208 m.

The company has an order book exceeding Rs 9 bn. It expects this to touch Rs 15 bn in the near term. Recently, the company recently secured a Rs 1.42 bn contract from DRDO to develop a high-powered anti-drone laser system.

Paras Defence and Space Technologies operates in multiple segments including defence optics, electronics, electromagnetic pulse protection, and heavy engineering.

It has strong ties with Indian defence agencies like DRDO and ISRO. In terms of exports too, the company is growing. It's expanding its presence in over 75 countries to increase exports.

The Indian defence and aerospace sector is growing rapidly due to increased government spending, and indigenisation policies. Paras Defence and Space Technologies is well-placed to benefit from these trends.

However, it does face challenges such as high R&D costs, regulatory hurdles, and the need to keep pace with technological advances.

How Shares of Paras Defence and Space Technologies have Performed Recently

Over the last one month, the share price of Paras Defence and Space Technologies has gained 6% from levels of Rs 1,637 to the current levels of Rs 1,737. The shares of the company have gained 23.5% in the last one year.

The stock hit a 52-week high of Rs 1,943.6 on 19 May 2025. The stock also hit a 52-week low of Rs 802 on 7 April 2025.

About Paras Defence and Space Technologies

Paras Defence and Space Technologies is a company specialising in the design, development, manufacturing, and testing of a broad range of defence and space engineering products and solutions.

The company serves a wide range of defence applications including rocket and missile technologies, space research, naval systems, land and armoured vehicles, and electronic warfare. It has a strong presence both in India and internationally, with exports to over 75 countries.

It's expanding through partnerships and investments, such as its collaboration with Israeli companies for advanced drone camera technology.

To know more, you can check out Paras Defence and Space Technologies fact sheet and latest quarterly results. You can also compare Paras Defence and Space Technologies with its peers on our website.

Paras Defence and Space Technologies vs Bharat Dynamics

Paras Defence and Space Technologies vs Data Patterns

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Investors should evaluate the company's fundamentals, corporate governance, and valuations of the stock as key factors when conducting due diligence before making investment decisions.

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