Defence stock jumps after BofA Securities Europe acquires stake worth ₹54 Cr via bulk deal

Synopsis: MTAR Technologies attracted institutional interest after BofA Securities Europe SA bought a 0.66% stake via a bulk deal, highlighting confidence in its growth prospects.

This Defence Stock, engaged in precision engineering of critical components for aerospace, defence, space, nuclear, and clean energy sectors, jumped 1.34 percent after BofA Securities Europe acquired 2.06 lakh shares in the company.

With a market capitalization of Rs. 8,242.34 crores, the share of MTAR Technologies Limited has reached an intraday high of Rs. 2,724.20 per equity share, rising nearly 1.34 percent from its previous day’s close price of Rs. 2,688.30. Since then, the stock has retreated and is currently trading at Rs. 2,679.60 per equity share. 

MTAR Technologies Limited, engaged in precision engineering and manufacturing for clean energy, aerospace, defence, and nuclear sectors, witnessed fresh institutional interest after BofA Securities Europe SA acquired 2,06,076 shares, representing a 0.66 percent stake, at Rs. 2,665.45 per share, amounting to Rs. 54.9 crore.

The investment was executed through a bulk deal, reflecting rising confidence among global investors in the company’s strong order book, advanced manufacturing capabilities, and long-term growth potential.

Order Book:

As of September 30, 2025, MTAR Technologies Limited had a diversified order book of Rs. 1,296.6 crore, up from Rs. 930.2 crore in June 2025. Clean energy contributes about 67.1 percent, including Civil Nuclear Power, fuel cell and hydrogen, aerospace and defence 25.2 percent, and products & others 7.7 percent, offering strong revenue visibility.

MTAR Technologies Limited has added several marquee customers over the past 2-3 years across key sectors. New clients include Fluence in battery energy storage, Andritz Hydro, ReGen Powertech, GE Power, Hitachi Zosen, and Voith in clean energy, leading MNC aerospace players such as GKN Aerospace, Collins Aerospace, Thales, IAI, and Thales Alenia Space, and firms like Weatherford, Metso, and Indo Tech in oil and gas.

MTAR Technologies Limited was established in 1970 and is headquartered in Hyderabad, India. The company specializes in precision engineering for aerospace, defence, space, nuclear, and clean energy sectors. 

The company manufactures critical components like propulsion engines, reactor assemblies, missile shrouds, and electro-mechanical systems using advanced CNC machines for micron-level accuracy.  MTAR Tech serves clients such as ISRO, DRDO, NPCIL, Boeing, and Airbus from six facilities.

Coming into financial highlights, MTAR Technologies Limited’s revenue has decreased from Rs. 190.18 crore in Q2 FY25 to Rs. 135.59 crore in Q2 FY26, which is a drop of 28.70 percent. The net profit has also decreased by 75.56 percent from Rs. 18.78 crore in Q2 FY25 to Rs. 4.59 crore in Q2 FY26. MTAR Technologies Limited’s revenue and net profit have grown at a CAGR of 25.87 percent and 11.74 percent, respectively, over the last five years.

In terms of return ratios, the company’s ROCE and ROE stand at 10.5 percent and 7.51 percent, respectively. MTAR Technologies Limited has an earnings per share (EPS) of Rs. 15.1, and its debt-to-equity ratio is 0.25x.

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