HAL, BEL to Bharat Dynamics: Defence stocks dip after escalation in the US-Iran war

Defence stocks including HAL, BEL and Bharat Dynamics declined in Monday's trade after escalation in the US-Iran war raised concerns over energy shipment disruptions through the Strait of Hormuz. HAL fell over 0.58% to around Rs 4,474, while BEL and Bharat Dynamics dropped 0.78% and 0.55% respectively. Expert Harshal Dasani of INVasset PMS said the consolidation reflects the market working through a valuation gap created by the 2023-24 PSU defence rally, where order-inflow headlines drove three-to-five-fold re-ratings that ran years ahead of actual earnings execution.