Latest news with #post-OperationSindoor
Deccan Herald
a day ago
- Politics
- Deccan Herald
Monsoon session like 'Vijay Utsav'; PM Modi hails Operation Sindoor
Speaking with the media before the start of the session, the prime minister hailed the multi-party delegations that visited various parts of the world to convey India's position post-Operation Sindoor for their efforts in removing the veil from the face of the master of terrorists - Pakistan.
Indian Express
4 days ago
- Politics
- Indian Express
Delhi Confidential: Heavy hitters
Senior advocate Kapil Sibal is learnt to be leading the battery of lawyers appearing for Justice Yashwant Varma in the challenge against in-house inquiry mechanism that indicted him. Sibal will be joined by former Attorney General Mukul Rohatgi, and Senior Advocates Sidharth Luthra and Siddharth Agarwal. Both Sibal and Luthra have handled impeachment proceedings in the past. While Sibal appeared for Justice V Ramaswami in 1993 and spearheaded the motion against former CJI Dipak Misra, Luthra appeared for Justice S K Gangele. Soft Diplomacy Many delegates, who were part of the post-Operation Sindoor global outreach, had called for more soft diplomacy and exchange programmes. Lok Sabha Speaker Om Birla seems to have taken this up. During a meeting Friday with a South Korean delegation led by former prime minister Kim Boo Kyum, Birla proposed the idea of parliamentary friendship groups from the Indian side. Such groups from both sides are expected to have interactions in future. Quick Exit Many officials and politicians tend to overstay in their official bungalows long after demitting office. Former IAS officer Amitabh Kant, however, vacated his official bungalow at 6, New Moti Bagh within a month of resigning as India's G20 Sherpa on June 15.
News18
5 days ago
- Politics
- News18
Nitish Kumar's Hindutva Alignment To Benefit From Modi's Welfare Policies
Last Updated: Realising that in current circumstances Hindutva-backed campaign is NDA's best bet in the polls, Kumar would want to be mascot for it rather than allow BJP take centre-stage Bihar Chief Minister Nitish Kumar may well be taking the guard for one last time in an electoral battle when the state goes to polls later this year. A master political schemer, Kumar has managed a 'pendulum style' politics swaying between hard-boiled Socialist caste-based politics and soft Hindutva agenda. In the past quarter of a century, Kumar has managed, whether with the left-of-centre conundrum or right-of-centre Bharatiya Janata Party (BJP), to maintain a progressive profile for his government. He has contested in alliance with the BJP on five occasions (2000, February 2005 and November 2010 and 2020), however, during every campaign, he always remained, at least in public perception, distant from the Hindutva agenda of its alliance partner the BJP. This 'distance' had allowed him to take divorce from the BJP and enter into an electoral alliance with the Rashtriya Janata Dal (RJD) and the Congress in 2015, winning the polls. However, he later eloped with the mandate and formed a government with the BJP. Similarly, after winning the 2020 polls in alliance with the BJP, he bolted with the mandate and formed government with RJD-Congress, only to return back to his first suitor. However, this time around, there are clear indications that Kumar is entering the poll arena somewhat wedded (how strongly only time would tell) to the right-of-centre ideology. His party – Janata Dal (United) — in the past one year has supported the Centre on the crucial issue of Waqf (Amendment) Bill and later supported the government's diplomatic initiatives post-Operation Sindoor. What has put an affirmative stamp on his right-of-centre tilt is last Sunday's unveiling of the final design for the grand Janaki Temple at Punaura Dham in Sitamarhi. This initiative is justly seen by many as a strategic move to align with the Hindutva agenda, aiming to consolidate support among Hindu voters by emphasising cultural and religious heritage. Is this a departure by Nitish Kumar from his traditional campaign in the strongholds of Extremely Backward castes, Mahadalit communities, a large section of forward caste communities and a section of the Muslim voters? Not truly, this could be a move by the Machiavellian politician to cast his shadow over the votes which have moved to the BJP over the past 11 years thanks to several socio-economic policies of Modi government. By championing the Janaki Temple project, a venture of significant religious importance at the birthplace of Goddess Sita, Kumar is attempting to transcend caste lines and appeal to a broader Hindu electorate. He seeks to position Janaki Temple as a counterpart to the Ram Temple in Ayodhya, thus placing himself as 'no less a Hindu' than his BJP counterparts. The government's plan includes the development of a 151-foot-high temple structure, broad walkways, extensive green landscaping, and facilities like 'Sita-Vatika' and 'Luv-Kush Vatika' to enhance the mystical and creative experience for devotees. The Bihar government has appointed the same Noida-based firm, which was associated in the Ayodhya Ram Temple project, as the design consultant for the planned Janaki Temple. This Hindutva orientation has become all the more necessary because of the aggressive assault launched by the opposition on Kumar's long-time dividend-paying progressive agenda. RJD's Chief Ministerial face Tejashwi Yadav has accused Kumar of replicating the BJP's Hindutva agenda without genuine commitment to religious or cultural development. He has claimed that such projects are being used to distract from pressing issues such as unemployment, poverty, and lack of infrastructure. There is reason to see some truth in what Yadav is saying. However, this alignment on Hindutva agenda is also focussed at Kumar dominating campaign narrative. Unlike the 2020 polls, he would not want to emerge as runner-up to the BJP within the alliance. Realising full well that in the current circumstances Hindutva-backed campaign is NDA's best bet in the upcoming polls, Kumar would want to be the mascot for it rather than allow a BJP leader take the centre stage on the matter. He would want a perception to build that Hindu voters who list religious and cultural identity in their political considerations voted for NDA not despite Kumar but for Kumar. Location : New Delhi, India, India First Published: June 24, 2025, 16:30 IST News opinion Opinion | Nitish Kumar's Hindutva Alignment To Benefit From Modi's Welfare Policies Disclaimer: Comments reflect users' views, not News18's. Please keep discussions respectful and constructive. Abusive, defamatory, or illegal comments will be removed. News18 may disable any comment at its discretion. By posting, you agree to our Terms of Use and Privacy Policy.
Economic Times
6 days ago
- Business
- Economic Times
Mutual funds cut Rs 1,700 crore exposure in 9 defence stocks. Too expensive to buy or smart exit?
Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads Their top picks in the space are BEL and Data Patterns. The multi-billion-dollar boom in defence stocks is showing signs of a slowdown, as mutual funds offloaded a staggering Rs 1,700 crore across nine defence stocks last month — a signal that even the smartest money managers believe valuations have turned dangerously expensive after the post-Operation Sindoor the positive news around increased defence spending following Operation Sindoor , coupled with NATO's defence spending targets creating a double-barrelled opportunity in both domestic and export markets, has now pushed valuations into uncomfortable territory. This has prompted institutional investors to hit the exit selling spree was broad-based, with Solar Industries bearing the brunt with outflows of Rs 952 crore, followed by Zen Technologies at Rs 192 crore and Bharat Forge at Rs 165 crore. GRSE saw selling worth Rs 153 crore, while Cochin Shipyard faced outflows of Rs 120 crore, and Mazagon Dock witnessed exits of Rs 96 crore, according to estimates by Prime Database. Total gross selling stood at approximately Rs 1,713 stark contrast, buying was limited to a meagre Rs 100 crore across seven stocks, including Bharat Dynamics, Unimech, and sell-off has been reflected in share prices, with the Nifty India Defence Index falling around 4% over the past month. GRSE, Astra Microwave, and Cochin Shipyard have reported double-digit losses, while Solar Industries is down 9% and HAL has shed around 3%, underscoring the broad-based nature of the concerns are now front and center, as even the sector's most vocal cheerleaders are beginning to pump the brakes.'We have been avoiding a lot of defence plays... those are the places where we are finding a little bit of overenthusiasm in the marketplace and among market participants,' said Vikas Khemani of Carnelian Asset Management, highlighting the frothy sentiment gripping the caution reflects a broader shift in institutional thinking. "It is not that tomorrow if we find an interesting company where the risk-reward is there, we will be buying those segments also, so I am not making a broad judgment that we will not do anything, but it is just that those are the places where we are finding a little bit of overenthusiasm in the marketplace and market participants," he added, suggesting that selectivity, not blanket avoidance, is the new warning signs are flashing red across the sector, with execution risks emerging as the new worry. Ambareesh Baliga sounded the alarm on what many investors are overlooking: "In fact, I am finding the valuations are a bit expensive at this point of time... the issue would be on delivery, on execution, which not too many people are talking about. They have got huge orders, but how will they execute? I think that is the big issue."Baliga's concerns are particularly acute for the medium term. "The issue is mostly on the defence side of the market because quite a few of them have got order books full for the next six-eight years, and if they are not able to increase their capacity and deliver, that is where the issue would happen," he pointed to HAL as an early warning: "We have already seen that happening in HAL to some extent, that we should see across the other companies." This suggests that the order book visibility that investors have been celebrating could become a liability if companies can't scale up operations to meet recent downgrade of BDL by Motilal Oswal further weighed on sentiment, serving as a wake-up call for investors who had been riding the momentum. The brokerage initiated coverage on Bharat Dynamics with a 'neutral' rating and Rs 1,900 target price, nearly 4% below its then market value, citing "lofty valuations."While the brokerage applauded BDL's strong order pipeline and export growth, it noted that the stock's sharp run-up leaves "little room for near-term upside." The brokerage stated it would "look for lower price points to enter the stock," essentially telling investors to wait for a correction before jumping cautious stance is becoming more common among institutional investors. Even seasoned bulls are turning cautious. Harsha Upadhyaya, CIO-Equity at Kotak AMC, who has been a long-term believer in the defence story, admitted: "While valuations are on the higher side, we are not increasing our position at this point of time... however, in the short term yes, the valuations are on the higher side so one needs to have a little bit of caution."Upadhyaya's comments are particularly significant because Kotak AMC has been building defence positions since the government started focusing on indigenization. "We have been very positive on defence for quite some time now, and we started building our positions when the government started to focus on indigenization, and also larger investments continue to happen into defence," he said, making his current caution all the more easing of tensions in the Middle East, particularly between Israel and Iran, had already begun to dampen sentiment, as geopolitical risks that had supported defence stocks started to the near-term turbulence, the structural story remains compelling for those willing to look beyond the current valuation concerns. The macro backdrop, including NATO's 5% defence spending target by 2035 and recent Defence Acquisition Council approvals worth Rs 1 trillion, continues to provide a solid foundation for long-term remains bullish on the sector's long-term prospects, particularly favoring the Defence Electronics segment: "We prefer the Defence Electronics segment, which shall grow 2–3x of defence budget outlay (7–8% CAGR over next five years) powered by the dual engines of ongoing modernisation and higher localisation content for larger programs in the pipeline for Air Force and Navy."Nuvama highlighted that "over the past three decades, India's defence spending growth rate has been among the highest (~8%) across global defence superpowers due to import embargoes and growing export potential." This translates to an estimated $130 billion opportunity over the next five to seven catalysts remain strong despite valuation concerns. Following Operation Sindoor, the government has approved Rs 400 billion for emergency procurement to fast-track military purchases, with the Ministry of Defence recently clearing emergency procurement worth Rs 20 billion for various platforms. Additionally, the Defence AcquisitionCouncil has approved Acceptance of Necessity (AoN) for 10 proposals amounting to Rs 1,050 Securities expects robust order inflows in FY26, with most companies under its coverage guiding for revenue growth of over 15%. Some, like BDL, Solar Industries, and Azad Engineering, have projected even higher growth in the range of 25–30%.Among its top picks, ICICI Securities lists Solar Industries, Astra Microwave, and Azad Engineering in the private space. Among DPSUs, it prefers HAL, BEL, and the valuation challenge remains very real. Nuvama noted that 'Indian defence stocks across the spectrum have re-rated explosively over the past two to three years on the back of improved visibility,' with 'most private defence stocks now trading at a premium to DPSUs, given their higher earnings CAGR and superior return profile.'For retail investors caught in the crossfire, Aamar Deo Singh, Sr. VP – Research at Angel One, offered practical advice: 'Defence stocks have witnessed a spectacular rally, and post the India-Pakistan conflict, this sector has once again taken off, with some stocks hitting record highs and trading at expensive valuations. So, it would be wise not to invest all at once in this sector. Adopting an SIP approach over the long term would deliver better results.'As the dust settles, the defence sector stands at a crossroads — caught between compelling long-term growth drivers and stretched near-term valuations that have even the most bullish investors hitting the pause button.
Time of India
7 days ago
- Business
- Time of India
Mutual funds dump Rs 1,700 crore in 9 defence stocks. Too expensive to buy or smart exit?
The multi-billion-dollar boom in defence stocks is showing signs of a slowdown, as mutual funds offloaded a staggering Rs 1,700 crore across nine defence stocks last month — a signal that even the smartest money managers believe valuations have turned dangerously expensive after the post-Operation Sindoor rally. All the positive news around increased defence spending following Operation Sindoor , coupled with NATO's defence spending targets creating a double-barrelled opportunity in both domestic and export markets, has now pushed valuations into uncomfortable territory. This has prompted institutional investors to hit the exit button. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Gold Is Surging in 2025 — Smart Traders Are Already In IC Markets Learn More Undo The selling spree was broad-based, with Solar Industries bearing the brunt with outflows of Rs 952 crore, followed by Zen Technologies at Rs 192 crore and Bharat Forge at Rs 165 crore. GRSE saw selling worth Rs 153 crore, while Cochin Shipyard faced outflows of Rs 120 crore, and Mazagon Dock witnessed exits of Rs 96 crore, according to estimates by Prime Database. Total gross selling stood at approximately Rs 1,713 crore. In stark contrast, buying was limited to a meagre Rs 100 crore across seven stocks, including Bharat Dynamics, Unimech, and BEL. Also Read | Defence stocks retreat after up to 84% rally in 3 months. Is it time to book profits or hold? Live Events The sell-off has been reflected in share prices, with the Nifty India Defence Index falling around 4% over the past month. GRSE, Astra Microwave, and Cochin Shipyard have reported double-digit losses, while Solar Industries is down 9% and HAL has shed around 3%, underscoring the broad-based nature of the correction. Valuation concerns are now front and center, as even the sector's most vocal cheerleaders are beginning to pump the brakes. 'We have been avoiding a lot of defence plays... those are the places where we are finding a little bit of overenthusiasm in the marketplace and among market participants,' said Vikas Khemani of Carnelian Asset Management, highlighting the frothy sentiment gripping the sector. Khemani's caution reflects a broader shift in institutional thinking. "It is not that tomorrow if we find an interesting company where the risk-reward is there, we will be buying those segments also, so I am not making a broad judgment that we will not do anything, but it is just that those are the places where we are finding a little bit of overenthusiasm in the marketplace and market participants," he added, suggesting that selectivity, not blanket avoidance, is the new mantra. The warning signs are flashing red across the sector, with execution risks emerging as the new worry. Ambareesh Baliga sounded the alarm on what many investors are overlooking: "In fact, I am finding the valuations are a bit expensive at this point of time... the issue would be on delivery, on execution, which not too many people are talking about. They have got huge orders, but how will they execute? I think that is the big issue." Baliga's concerns are particularly acute for the medium term. "The issue is mostly on the defence side of the market because quite a few of them have got order books full for the next six-eight years, and if they are not able to increase their capacity and deliver, that is where the issue would happen," he warned. Baliga pointed to HAL as an early warning: "We have already seen that happening in HAL to some extent, that we should see across the other companies." This suggests that the order book visibility that investors have been celebrating could become a liability if companies can't scale up operations to meet demand. The recent downgrade of BDL by Motilal Oswal further weighed on sentiment, serving as a wake-up call for investors who had been riding the momentum. The brokerage initiated coverage on Bharat Dynamics with a 'neutral' rating and Rs 1,900 target price, nearly 4% below its then market value, citing "lofty valuations." While the brokerage applauded BDL's strong order pipeline and export growth, it noted that the stock's sharp run-up leaves "little room for near-term upside." The brokerage stated it would "look for lower price points to enter the stock," essentially telling investors to wait for a correction before jumping in. This cautious stance is becoming more common among institutional investors. Even seasoned bulls are turning cautious. Harsha Upadhyaya, CIO-Equity at Kotak AMC, who has been a long-term believer in the defence story, admitted: "While valuations are on the higher side, we are not increasing our position at this point of time... however, in the short term yes, the valuations are on the higher side so one needs to have a little bit of caution." Upadhyaya's comments are particularly significant because Kotak AMC has been building defence positions since the government started focusing on indigenization. "We have been very positive on defence for quite some time now, and we started building our positions when the government started to focus on indigenization, and also larger investments continue to happen into defence," he said, making his current caution all the more noteworthy. The easing of tensions in the Middle East, particularly between Israel and Iran, had already begun to dampen sentiment, as geopolitical risks that had supported defence stocks started to recede. Despite the near-term turbulence, the structural story remains compelling for those willing to look beyond the current valuation concerns. The macro backdrop, including NATO's 5% defence spending target by 2035 and recent Defence Acquisition Council approvals worth Rs 1 trillion, continues to provide a solid foundation for long-term growth. Nuvama remains bullish on the sector's long-term prospects, particularly favoring the Defence Electronics segment: "We prefer the Defence Electronics segment, which shall grow 2–3x of defence budget outlay (7–8% CAGR over next five years) powered by the dual engines of ongoing modernisation and higher localisation content for larger programs in the pipeline for Air Force and Navy." Their top picks in the space are BEL and Data Patterns. Also Read | Defence stocks decline as investors reassess valuations amid profit booking Nuvama highlighted that "over the past three decades, India's defence spending growth rate has been among the highest (~8%) across global defence superpowers due to import embargoes and growing export potential." This translates to an estimated $130 billion opportunity over the next five to seven years. Immediate catalysts remain strong despite valuation concerns. Following Operation Sindoor, the government has approved Rs 400 billion for emergency procurement to fast-track military purchases, with the Ministry of Defence recently clearing emergency procurement worth Rs 20 billion for various platforms. Additionally, the Defence Acquisition Council has approved Acceptance of Necessity (AoN) for 10 proposals amounting to Rs 1,050 billion. ICICI Securities expects robust order inflows in FY26, with most companies under its coverage guiding for revenue growth of over 15%. Some, like BDL, Solar Industries, and Azad Engineering, have projected even higher growth in the range of 25–30%. Among its top picks, ICICI Securities lists Solar Industries, Astra Microwave, and Azad Engineering in the private space. Among DPSUs, it prefers HAL, BEL, and Midhani. However, the valuation challenge remains very real. Nuvama noted that 'Indian defence stocks across the spectrum have re-rated explosively over the past two to three years on the back of improved visibility,' with 'most private defence stocks now trading at a premium to DPSUs, given their higher earnings CAGR and superior return profile.' For retail investors caught in the crossfire, Aamar Deo Singh, Sr. VP – Research at Angel One, offered practical advice: 'Defence stocks have witnessed a spectacular rally, and post the India-Pakistan conflict, this sector has once again taken off, with some stocks hitting record highs and trading at expensive valuations. So, it would be wise not to invest all at once in this sector. Adopting an SIP approach over the long term would deliver better results.' As the dust settles, the defence sector stands at a crossroads — caught between compelling long-term growth drivers and stretched near-term valuations that have even the most bullish investors hitting the pause button.
