Why Bharat Forge Share Price is Rising

The stock price of Bharat Forge Ltd has captured investors' attention.

The company has been in the news and investors have taken notice.

In this editorial, we will explore the reasons for the rise and look at the company behind the stock.

Read on...

#1 Big Defence Order

On 30 December 2025, the Ministry of Defence awarded an Indian Army contract to Bharat Forge for the supply of CQB (5.56 x 45 mm) carbines.

The contract is worth Rs 16.6 billion (bn). The number of carbines to be supplied by Bharat Forge are 255,128 and it must be done within 5 years.

The has been reported as the largest small arms contract that the company has received.

#2 Good Long Term Prospects in Defence

India aims to hit Rs 3,000 bn in defence production and export Rs 500 bn by 2029, positioning itself as a trusted global defence player.

Bharat Forge is capitalising on this via key partnerships and homegrown tech to increase its share in this business.

A new aerospace facility of the company is slated to go live in 2027, capable of doubling capacity and paving the way for US$ 100-200 million (m) in business.

What next for Bharat Forge?

Bharat Forge's balance sheet is strong and future cash flows are likely to be healthy.

The company has reported an executable order book worth Rs 97.7 bn as of 30 September.

Bharat Forge's debt levels over the years have been reasonable and is currently low at 0.1. The company raised equity by the way of a QIP in December 2024 worth Rs 16.5 bn and used a majority of the proceeds to repay debt.

Bharat Forge Financial Snapshot

Source: Equitymaster

How shares of Bharat Forge have performed recently

Bharat Forge's share price has moved up from Rs 1,373 on 8 December 2025 to Rs 1,491.95 (intraday) on 31 December 2025. In the last one month, the stock is up 7%.

Over the last one year, the stock is up almost 13%.

The stock touched its 52-week high of Rs 1,491.95 on 31 December 2025 and its 52-week low of Rs 919.1 on 7 April 2025.

About Bharat Forge

Bharat Forge is a key player in India's defence sector, contributing across multiple areas.

Bharat Forge provides important components for armoured vehicles and manufactures ammunition and small arms parts, making it an integral part of India's defence manufacturing ecosystem.

It has developed artillery systems like the Garuda 105mm light howitzer, the Bharat-52 155mm howitzer, and the Mounted Gun System (MGS).

The company is working on mechanised futuristic infantry combat vehicles (FICVs) for the Indian Army, which will include advanced weapon systems like a 30mm gun.

It's also developing naval guns for the Indian Navy. The company is venturing into unmanned aerial vehicles (UAVs) and underwater systems, critical for modern naval operations and coastal security.

For more details, see the Bharat Forge company fact sheet and quarterly results.

To know what's moving the Indian stock markets today, check out the most recent share market updates here.

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.

Happy investing.

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