Chandrayaan-3: Shares of MTAR, Centum, and Paras Gain Up To 20%, According To Experts

After a successful landing on the South Pole of the moon on Wednesday, August 23, India has achieved a historic first. L&T, BHEL, HAL, and MTAR are just a few of the more than ten firms that have contributed to the Chandrayaan-3 project. According to experts, these businesses will profit from India’s growing share of the global space industry, which is anticipated to increase from 3% to 10% over the next ten years.

According to Mukesh Kochar, national head (wealth management) at AUM Capital, Chandrayaan-3 is one of India’s most significant turning points. India presently contributes around 2-3% to the global space economy, and in the next 8–10 years, it is anticipated to contribute about 8–10%.

After the Vikram lander from the Chandrayaan-3 mission successfully touched down on the Moon, shares of businesses in the aerospace and defense industries rose on Thursday, with companies like Centum Electronics seeing a nearly 20% increase.

On the BSE, shares of Centum Electronics surged by 19.69%, Paras Defence and Space Technologies Ltd. increased by 17.30%, MTAR Technologies increased by 10.32%, and Hindustan Aeronautics Ltd. increased by 2.69%.

The Chandrayaan-3 mission, according to Kochar, will establish India as a reliable satellite launcher, and a worldwide opportunity might materialize.

Defense and aerospace industries will benefit. In India, there are over 140 registered space startups. After the success of this amazing voyage, these firms ought to draw a lot of funding. Future projections call for an increase in the fiscal allotment as well. So overall, this will help the Indian economy, according to Kochar.

After Chandrayaan-3’s accomplishment, investors looking for attractive stocks to purchase in the space sector should consider both the order book and balance sheet. According to a livemint story citing Basav Capital’s Sandeep Pandey, an increase in order volume alone may not be sufficient since free cash flow is essential for achieving greater returns and solid fundamentals.

According to V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services, “the near-term market outlook has turned distinctly positive with the US economy’s soft landing narrative lifting sentiments globally and Chandrayaan-3’s successful soft landing on the Moon boosting sentiments in India.”

Defense and space stocks should do well in the long run following Chandrayaan-3’s successful soft landing on the moon, according to Anuj Gupta, a market expert at HDFC Securities. For a long-term perspective, one can look at stocks like L&T, L&T Tech, Walchandnagar Industries, Bharat Forge, Astra Microwave Products, Avantel, Linde India, HAL, MTAR Technologies, BEL, and BHEL.

According to Santosh Meena, head of research at Swastika Investmart, these businesses would likely experience a favorable attitude after Chandrayaan-3’s successful landing, which might lead to a rise in stock prices. Despite the recent increases, these counters’ general long-term prognosis is still positive.

“Investors would do well to hold onto their holdings, seeing any profit taking as an opportunity for a long-term entrance. Trading professionals may not want to chase these stocks right away after the incident, however. Waiting for possible profit booking may provide better entry chances and is consistent with a tactical long-term investing strategy. Our top choices are HAL, L&T, and MTAR technologies, Meena continued.

India became the first nation to set foot on the unexplored surface when its Moon mission Chandrayaan-3 made contact with the lunar south pole at 6:04 p.m. on Wednesday.